The Securities Market Regulators Revealed Three Surprises During 2000

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The securities market regulators revealed three surprises during 2000 with varying degrees of favorability for the standards developed by the IASC. First, the SEC examined these standards carefully and questioned their forcefulness and worth (Zeff, 2012). Only a few months later a committee of the IOSCO recommended that its members should accept financial statements prepared using IASC standards for use by investors in their respective capital markets, however the committee tempered their recommendation by sanctioning reconciliations between standards, additional disclosures, or specifying the use of certain alternatives (Zeff, 2012). Finally by mid-year, the EU mandated the adoption of IASC standards for all consolidated financial statements issued in the EU by 2005 (Zeff, 2012).
Furthermore in May 2000, the IASC ratified a new constitution and restructuring plan to address some of the issues that had detracted from their credibility since its inception, including its part-time staff (Zeff, 2012). These events culminated the ownership of the IASC by the accounting profession worldwide (Zeff, 2012). Similar surrenders by national groups of accounting professions had occurred previously in the U.S. in 1973 when the APB turned standard setting over to the FASB and in the U.K. in 1990 when the Accounting Standards Board succeeded to the Accounting Standards Committee (Zeff, 2012). In April 2001, the first official meeting of the International Accounting Standards Board

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