The Financial Reporting Review Panel is to team up with the Financial Services Authority on investigations into listed company accounts, the body revealed today (Wednesday).
The two watchdogs have signed a memorandum of understanding that will ensure co-operation over any action taken against companies that breach accounting or listing rules. The FRRP is also finalising another memorandum of understanding with the Inland Revenue under which that tax authority may disclose company account information to the FRRP.
The move comes on a day in which the statutory powers of the body tasked with examining the accounts of public interest entities have increased dramatically.
As part of it new proactive investigations, it now has the ability to demand companies, directors and auditors to provide documents and other information if the panel requires it.
‘These changes increase the panel’s authority, but we know that the best regulation is by agreement, and that is what we try to achieve,’ said FRRP chairman Bill Knight.
‘Every business which prepares accounts also uses them, and it is in all our interests to make sure that the system of regulation works and that accounts continue to be true and fair.’
The Financial Reporting Council has issued guidance regarding the annual reporting of 1,200 large and smaller listed companies. The letter highlighted the key issues and improvements that can be made in the 2016 reporting season
Baldwins Accountancy Group has continued investment in the north-east and appointed David Fish as a director in its corporate finance team
UK M&A activity bounced back strongly in July and August, according to analysis by the deals practice at PwC.
Smith & Williamson has added Jim Clark and Philip Marsden, of Marsden Clark Corporate Finance Limited, to its corporate finance team.