BusinessCompany NewsFSA seeks power over company accounts

FSA seeks power over company accounts

The FSA wants the power to investigate company accounts for breaches of accounting standards and law in a move that would see the regulator become much more like US watchdog the Securities and Exchange Commission.

Link: Delay hits FSA listings rules review

Currently, the work of examining accounts is done by the Financial Reporting Review Panel, but only on a reactive basis.

The DTI is understood to want to make the FRRP more pro-active but the FSA’s lobbying to take on the role would see the biggest restructuring of financial regulation since the regulator came into being.

Either way companies can look forward to more spot checks. Indeed the FRRP is understood to be poised to move to a risk-based approach to its work based upon the current FSA model, one that has been widely praised.

The FSA believes it has a role in risk assessment and investigation. It has also hinted that such a reform would solve the funding issues for the FRRP which currently only draws a small amount of money from firms, the accountancy institute and government.

The FSA is well placed to get its views heard. Ken Rushton, director of listings at the regulator and Michael Foot, a managing director, are both on the government’s coordinating group reviewing UK auditing and accounting in the wake of Enron and WorldCom.

Related Articles

BDO replaces Deloitte as Mitie auditor

Audit BDO replaces Deloitte as Mitie auditor

3m Emma Smith, Managing Editor
CVR Global appoints partner in London office

Company News CVR Global appoints partner in London office

7m Alia Shoaib, Reporter
FTSE100 failing to provide adequate ethics information

Company News FTSE100 failing to provide adequate ethics information

7m Alia Shoaib, Reporter
Moore Stephens recruits new private client partner

Accounting Firms Moore Stephens recruits new private client partner

10m Emma Smith, Managing Editor
Magma Group announces merger, partner promotions

Accounting Firms Magma Group announces merger, partner promotions

10m Emma Smith, Managing Editor
BDO on ‘recruitment spree’ with multiple partner appointments

Accounting Firms BDO on ‘recruitment spree’ with multiple partner appointments

10m Emma Smith, Managing Editor
Brand strength leads to fee income growth for RSM

Accounting Firms Brand strength leads to fee income growth for RSM

10m Emma Smith, Managing Editor
Mazars strengthens audit team with partner appointment

Accounting Firms Mazars strengthens audit team with partner appointment

10m Emma Smith, Managing Editor