Memorandum submitted by the Association of Chartered Certified Accountants
FINANCIAL REGULATION OF PUBLIC LIMITED COMPANIES
I have pleasure in enclosing ACCA's response to the above consultative exercise.
I am aware that you have already seen a copy of this paper. Having looked at the terms of reference of this inquiry, namely "To examine, in the light of the Enron collapse, the arrangements for financial regulation of public limited companies in the United Kingdom", I believe that our original paper adequately conveys our position on the following topics specifically identified in the invitation to comment:
the adequacy of accounting and auditing procedures;
what auditors should be seeking to achieve and how best to achieve it;
how to ensure effective regulation of multi-national companies;
relevant corporate governance issues including the role of non-executive directors and the potential conflict between auditors' responsibilities to shareholders and their involvement with companies' managements.
You have, of course, invited ACCA to make oral presentation to the Committee and we shall look forward to expanding on any of the issues raised in the paper.