Because its news

This is infact Accounting news which should put it in the bean counting blog but since this is pure news and not any commentry type stuff (as in its been copied and pasted) I thought it needed to go here.

At 11.59pm on Thursday night (24/6/04) the Senate agreed to 4 'policy' amendments to the Corporate Law Economic Reform Program (Audit Reform & Corporate Disclosure) Bill 2003 (CLERP 9) Bill that was introduced into Parliament last December 2003. Apart from numerous 'machinery/editorial' amendments passed earlier in the week, the Government agreed to a limited number of Opposition amendments. In addition the Government has agreed that Parliament at some later stage, but probably in the life of the new Parliament after the forthcoming Election, will consider the rest of the 61 amendments recommended by the Parliamentary Joint Committee on Corporations and Financial Services.

The Institute of Chartered Accountants in Australia jointly with CPA Australia were thanked by the Senate for the work that had been provided to the Parliament on CLERP 9.

Policy amendments agreed by the Senate and which are to be passed by the House of Representatives on Friday 26/6/04 are:

True & Fair View S298(1A), S306(2), S307(aa), S308(3B), S309(5B), S1466A

Where the Financial Report includes additional information necessary to give a 'True & Fair View', the Directors' Report is required to set out the Directors' reasons for including such 'True & Fair View' information. The Auditor's Report is also required to include a statement by the Auditor on whether the additional 'True & Fair View' information is in the Auditor's Opinion, necessary to give a 'True and Fair View'. Note that these amendments do not allow a 'True & Fair View' over-ride. The Financial Statements are still required to comply with applicable Accounting Standards.

Auditors Answering Questions at a Listed Company's Annual General Meeting – S250T(1)

Clarifying amendments have been made to ensure that Shareholders are able to ask the Auditor: questions relevant to: the conduct of the Audit; the preparation and content of the Auditor's Report; the Accounting Policies adopted by the Company; and the Independence of the Auditor. The Auditor can give such responses in writing where such questions have been submitted to the Auditor in advance of the AGM

Disclosure of Performance Conditions in a Listed Company's Remuneration of a Director, Secretary or Senior Manager S 300A(1)(ba)

Where an element of Remuneration is dependent on the satisfaction of a performance condition, disclosure is required of: a detailed summary of the performance condition; an explanation of why the performance condition was chosen; a summary of the methods used to assess whether the performance condition is satisfied; why those methods were chosen; and details of any external factors used as a comparison. Additional disclosure is also required of share options where a performance condition is or is not applicable. Disclosure is likewise required of how the performance condition lines up with the company's earnings and shareholder wealth (not defined!) going back 4 years, and taking into account dividends, share prices, and any return of capital.

Qualifications & Experience of Company Secretaries of Public Companies S300(10)(d)

This requirement is to be disclosed for financial years that start as from 1 July 2004. What is odd is that there is no such similar requirement for Chief Financial Officers!

And of course we need a link just to make it all propper.