Directors preparing accounts in accordance with International Financial Reporting Standards must be satisfied that the financial statements they prepare give a “true and fair view”, after changes suggested by ICAS.
The move, included in the Company Law Reform Bill published today, is welcomed by ICAS, who recommended action to preserve the “true and fair view” to ministers in early September. Chief Executive Des Hudson wrote to the DTI and FRC to ask them to consider the introduction of a requirement for directors to confirm explicitly that their financial statements give a true and fair view, after the concerns of major institutional investors that changes to the Companies Act had weakened UK financial reporting for companies adopting IFRS. ICAS is pleased that the true and fair principle has been reinforced.
See full Article.
Posts
