Collapse of HBOS, BHS and Carillion prompts Financial Reporting Council to propose revising its rules for stronger requirements for auditors
London — Accountants will have to be more exacting when deciding whether a firm can stay in business under a proposal by Britain’s audit watchdog after the collapses of Carillion and BHS.
“The collapse of large companies such as HBOS, BHS and Carillion has brought into question why such companies had clean auditor’s opinions, which included no warnings that the companies were at risk of collapse,” the FRC said. “Recent corporate failures and the FRC’s own enforcement work has shown the existing Going Concern Standard needs to be strengthened,” said Mike Suffield, the FRC’s acting executive director of audit.
The FRC said the revisions proposed to the going-concern standard would mean significantly stronger requirements on UK auditors than those required by international standards.
South Africa Latest News, South Africa Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Maimane: 'We're going to get Gauteng, NC and retain WC'Democratic Alliance (DA) leader Mmusi Maimane says he is confident the party will grow come 8 May in South Africa's general elections.
Read more »
They’re going to the World Cup, but what happens next for Amajita?As another group of young players heads to a World Cup, Daniel Mothowagae is assured that Amajita, unlike previous generations, will not fade into obscurity afterwards.
Read more »
Record PowerBall winner says he’s going to remain a ‘general worker’ for nowDespite now having R232m tax free in his bank account, the Capetonian says he doesn't want 'dangerous' people to be suspicious of his change in fortunes.
Read more »
PICS: Mini Cooper battered after going off cliff near BakovenA Mini Cooper has gone over a cliff near Bakoven in Cape Town, smashing into the rocks below.
Read more »
'Canada is going to the Moon': TrudeauNasa plans to build a small space station, dubbed Gateway, in the Moon’s orbit by 2026.
Read more »
'Anoj Singh was going to sign this thing' no matter what - $2bn Eskom loan under scrutinyEskom Treasurer Andre Pillay described to the state capture inquiry on Friday how the utility entered into a dodgy billion-dollar loan agreement with Chinese-based business Huarong Energy Africa.
Read more »
'Anoj Singh was going to sign this thing' no matter what - $2bn Eskom loan under scrutinyEskom Treasurer Andre Pillay described to the state capture inquiry on Friday how the utility entered into a dodgy billion-dollar loan agreement with Chinese-based business Huarong Energy Africa.
Read more »
'Not going to change anything' - SA chef from best restaurant in the worldHis eatery in remote South Africa has won renown as the world's first Restaurant of the Year, but chef Kobus van der Merwe insists fame will change nothing.
Read more »
Going online to check references is an apartheid tactic – CosatuLabour trade union federation Cosatu has hit out at the public service and administration department’s decision to use the internet as an addition means of checking employees references as “apartheid tactics”.
Read more »
Benni McCarthy reveals what he said at halftime to get his players goingI think we were lethargic, after we didn’t capitalise on the two early chances we created, says coach
Read more »