Sarbanes-Oxley helps LSE campaign

Sarbanes-Oxley helps LSE campaign

The tough new accounting rules in the US have helped the London Stock Exchange in its drive to attract overseas companies to list in the City.

Link: Lawyers push for Sarbanes-Oxley exemptions

The LSE is targeting companies that had plans to list in New York, but changed their minds, primarily due to the new requirements imposed on foreign-based companies that have a listing in the US.

These companies include German sports carmaker Porsche, Japanese brokerage Daiwa Securities and photographic film manufacturer Fuji Photo Film.

In addition, Bermuda-domiciled reinsurance broker Benfield Group said in November it would float in London rather than New York early this year due to fears following the demise of Enron and WorldCom.

LSE chairman Don Cruickshank has attacked the Sarbanes-Oxley law, introduced at the end of last year, for its extra-territorial features – the act forces directors of foreign firms listed in the US to take personal responsibility for accounts they file or face criminal prosecution.

He also defended the UK’s principles-based approach to accounting legislation, as opposed to the rules-based approach adopted by the US.

Share

Subscribe to get your daily business insights

Resources & Whitepapers

Why Professional Services Firms Should Ditch Folders and Embrace Metadata
Professional Services

Why Professional Services Firms Should Ditch Folders and Embrace Metadata

3y

Why Professional Services Firms Should Ditch Folde...

In the past decade, the professional services industry has transformed significantly. Digital disruptions, increased competition, and changing market ...

View resource
2 Vital keys to Remaining Competitive for Professional Services Firms

2 Vital keys to Remaining Competitive for Professional Services Firms

3y

2 Vital keys to Remaining Competitive for Professi...

In recent months, professional services firms are facing more pressure than ever to deliver value to clients. Often, clients look at the firms own inf...

View resource
Turn Accounts Payable into a value-engine
Accounting Firms

Turn Accounts Payable into a value-engine

3y

Turn Accounts Payable into a value-engine

In a world of instant results and automated workloads, the potential for AP to drive insights and transform results is enormous. But, if you’re still ...

View resource
Digital Links: A guide to MTD in 2021
Making Tax Digital

Digital Links: A guide to MTD in 2021

3y

Digital Links: A guide to MTD in 2021

The first phase of Making Tax Digital (MTD) saw the requirement for the digital submission of the VAT Return using compliant software. That’s now behi...

View resource