Two anti-corruption groups have convinced a British court to delay final approval of a controversial plea bargain between the U.K. Serious Fraud Office and arms company BAE Systems, complicating closure of what had already been a much-criticized prosecution. The ruling, issued March 2, means that BAE cannot plead guilty to the charges it agreed with […]
Global Glimpses
Posted inFrom the Archive
Japan Lifts Veil on Exec Pay and Shareholder Votes
Companies with a listing in Japan will have to disclose more information about their corporate governance practices and how much they pay directors under plans released by the country’s Financial Services Agency (FSA). The new disclosures are aimed at giving investors more of the information they need to hold companies to account. Currently, Japanese companies […]
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Compliance Cost Concerns Force U.K. Accounts Rethink
The U.K.’s Accounting Standards Board is rethinking controversial plans to scrap the body of reporting rules that unlisted companies use, known as U.K. GAAP, amid concerns about compliance costs. Last year the board released proposals that would see all U.K. businesses produce their accounts under International Financial Reporting Standards. But having received a deluge of […]
Posted inAnti-Bribery
Bribery Campaigners Try to Wreck BAE Plea
Two anti-corruption groups have started legal action aimed at wrecking a controversial plea bargain reached between the U.K.’s Serious Fraud Office and arms company BAE Systems. The SFO had spent years investigating suspicions that BAE used bribery and corruption to secure deals worth billions of pounds in several countries, but ten days ago it unveiled […]
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Infineon Overcomes Governance Revolt
German electronics company Infineon has faced down an investor revolt that had developed into a test case of the country’s corporate governance practices. In a direct challenge to the company’s leadership, rebel shareholders led by Hermes, a U.K. activist investor, had nominated their own candidate for election to the post of supervisory board chairman, a […]
Posted inAnti-Bribery
BAE Agrees to $450m Settlement; Gets Off Lightly?
British arms company BAE Systems has finally closed the book on a long-running investigation into alleged bribery and corruption, with an agreement to pay fines in the U.K. and United States totaling nearly $450 million. The U.K. Serious Fraud Office claimed the settlement as “a groundbreaking global agreement” and a “pragmatic end,” but the deal […]
Posted inAccounting & Auditing
Audit Cross-Selling Ban Opposed
U.K. regulators should not bar accounting firms from selling extra services to their listed company audit clients, but companies should do more to disclose what services they are buying, according to a paper from the Institute of Chartered Accountants of Scotland (ICAS). The Auditing Practices Board (APB) launched a review of audit cross-selling last year […]
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Irish Market CEO Demands Better Governance
Companies listed on the Irish Stock Exchange need to improve their corporate governance practices, according to the market’s chief executive, Deirdre Somers. If companies don’t raise their game in response to recent governance failings, Ireland will find it harder to attract foreign investment, Somers told a conference on corporate governance reform. Most companies listed in […]
Posted inAnti-Bribery
SFO Charges BAE Agent Over Arms Deals
The U.K. Serious Fraud Office’s investigation into suspected bribery and corruption involving arms company BAE Systems has finally led to someone being charged with a criminal offense. An Austrian aristocrat, Count Alfons Mensdorff-Pouilly, was charged in connection with defense contracts between BAE and certain countries in Eastern and Central Europe. Mensdorff-Pouilly is a former BAE […]
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CEOs Extremely Concerned by Over-Regulation
Over a quarter (27 percent) of big-company CEOs around the world are “extremely concerned” about over-regulation, according to a new survey from PricewaterhouseCoopers. The CEOs said excessive regulation was the biggest threat to their business growth. And the majority felt that governments had done nothing to reduce the compliance burden they faced. Asked to reflect […]