• Register
Return to: Home > News > Japanese regulator calls for increased audit accountability

Japanese regulator calls for increased audit accountability

Japan’s Financial Services Agency is pressing for greater accountability from audit firms and is to revise its auditing standards. Japan Times reports that the new standards will apply to earnings for the current year ending in March 2020. Auditors will be required to provide clear reasons for any ‘qualified opinions’ given.

The decision to push for greater transparency follows the scandal over Toshiba’s accounts, which dates back to 2016 when PwC Aarata issued a disclaimer opinion. In the wrangle that followed the accounting firm issued a qualified opinion in 2017 but declined to disclose the reason why, claiming it had a duty of confidentiality to the client. Now it would appear that the regulator has decided that auditors’ first accountability is to shareholders and investors rather than to a company.

Top Content

    HONG KONG NATIONALS: UNDERSTANDING VISA AND TAX WHEN MOVING TO THE UK

    Over 2 million Hong Kongers learned recently that they may soon be offered a route to UK citizenship following China’s introduction at the end of June of its controversial Security Law in the territory.

    read more

    SASB IMPLEMENTATION SERIES: COMMUNICATING ESG TO MAINSTREAM INVESTORS

    As part of a series of webinars, the Sustainability Accounting Standards Board (SASB) took a closer look at how to communicate ESG initiatives and progress to mainstream investors

    read more

    REPORTING AND COMPLIANCE: WHY WE NEED A DATA REVOLUTION

    Commerce no longer adheres to national boundaries: the largest international organisations to the smallest businesses operate in a global market. However, rules for corporate reporting and compliance do adhere to borders, write IMA’s Jeff Thomson and Liv A Watson

    read more

    CORONAVIRUS TIMELINE: REACTIONS FROM THE ACCOUNTANCY PROFESSION

    As the Coronavirus (COVID-19) continues to spread across the world, the International Accounting Bulletin and The Accountant will be collating all the latest news and updates from the profession on the pandemic’s impact.

    read more
Privacy Policy

We have updated our privacy policy. In the latest update it explains what cookies are and how we use them on our site. To learn more about cookies and their benefits, please view our privacy policy. Please be aware that parts of this site will not function correctly if you disable cookies. By continuing to use this site, you consent to our use of cookies in accordance with our privacy policy unless you have disabled them.