Known as the Transparency Directive, it will enable shareholders to sue if they lose money as a result of misinformation in the annual report.
It will mean a massive extension of directors’ liability in the UK – under English law, although directors can be sued over errors in their company prospectus, they cannot be sued over their annual report.
Companies will be forced to conduct due diligence and run extensive checks of their annual reports.
The directive will affect all listed companies.
Does Darwin's theory apply to taxation? Colin ponders...
The EC has been instructed to draft a European Union (EU) directive authorising an EU financial transaction tax, which would apply to ten of the EU’s 28 member states
Accountancy watchdog the FRC has dropped its investigation into the former chief financial officer of Tesco, nearly two years after the supermarket was engulfed in an accounting scandal
Colin imagines how Apple's logo might change in the wake of the EC's ruling over its Irish tax arrangements