EC to hold consultation on shareholders’ rights

The European Commission has launched another initiative aimed at increasing transparency and openness in European Union (EU) business dealings: a public consultation exercise on shareholders’ rights.

Link: EC pushes for more influence over IASB

Brussels wants accounting and auditing experts to comment on easing their monitoring of stock lending agreements and the status of depository receipt holders.

It also wants to explore how the EU could ensure the dissemination of relevant information before general meetings, maybe using new electronic communications.

The idea, said a Commission note, would be ‘to ensure that all shareholders, irrespective of their residence, obtain information in time and are able to cast an informed vote’.

It also wants to examine ways of helping shareholders ask questions and table resolutions, especially those living away from a company’s home country. And it wants ideas on making meeting voting results available to all shareholders.

EU internal market commissioner Charlie McCreevy said: ‘Shareholders must be able to exercise their rights easily’.

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