Hong Kong’s Financial Reporting Council (FRC) has appointed Kelvin Wong as chairman of the FRC, along with a number of other new board members.

These appointments will be effective as of 1 October 2019 when the FRC (Amendment) Ordinance 2019 takes effect and the new auditor regulatory regime commences.

Wong said: “It is indeed my honour and privilege to be appointed as the chairman of the FRC under the new regime. I treasure the opportunity to work with the board and the management and carry out the missions and objectives that we have pledged with our key stakeholders in the past ten months.

“I extend my warmest welcome to the incoming board members who, having been appointed from different professional backgrounds, will provide their collective wisdom and insights to the FRC. I look forward to working closely with the board to set our mission and strategies and creating a corporate culture that is conducive to discharging our functions effectively as a financial regulator, both internally and externally.”

As of the 1 October, the FRC will become Hong Kong’s full-fledged independent auditor regulator, providing inspection, investigation, recognition of overseas auditors of listed entities and discipline concerning auditors of listed entities. 

The FRC will also oversee the performance of the Hong Kong Institute of Certified Public Accountants (HKICPA) of their functions in relation to auditors including registration; setting of standards on professional ethics, auditing and assurance; and setting of continuing professional development requirements.

The regulator will focus on conducting policy research on audit and financial reporting issues and promoting corporate governance, as well as strengthening cooperation with other financial regulators locally and internationally.

Wong added: “To cater for the strategic focus of our expanded functions, we have put in place a new governance structure that comprises 5 committees namely the Inspection Committee, the Investigation Committee, the Oversight, Policy and Governance Committee, the Finance and Corporate Affairs Committee and the Compensation and Nomination Committee under the Board to provide advice to the FRC.

“At the same time, our honorary advisors, with a wide spectrum of professional expertise, will continue to provide their advice and contributions to the FRC at the committee level. We have full confidence that by leveraging on the wealth of experience and expertise of our Board Members and Honorary Advisers, the FRC is well-poised to implement our mission and strategies, and discharge our expanded statutory duties as an effective regulator, a defender of law and promoter of good governance.”

FRC acting CEO Wincey Lam said: “I am confident that the strong leadership and well-balanced experience of our Board Members will enable the FRC to embrace the opportunities and challenges presented in the new regime. I, the management team and our staff look forward to working closely with them.”