CA firms urged not to involve in manipulation for personal gains***
Sunday, 1 May 2011
FE Report
Speakers urged the chartered accountant (CA) firms to remain honest, as a section of them are allegedly involved in manipulation of companies' balance sheets for their personal financial gains. "Many audit firms give wrong asset revaluation and manipulate the companies' real scenario for their own interest, which ultimately make the investors sufferers," they said. "Chartered accountants with their ethics, integrity, and professionalism can provide the foundation of efficiency in the capital market through assessing the companies properly," they said. They were speaking at a seminar titled "IPO Issue Management, Pricing and Role of External Auditor", held at the ICAB (The Institute of Chartered Accounts of Bangladesh) Auditorium in the city Saturday. They also said the pricing and allocation of the companies' initial public offering (IPO) must be fare and transparent, and the issue manager must be transparent and duly accountable to the regulatory body. For fixing price, underwriters, regulators and issue managers need to be implicated and also be applicable to allocation, they said. Ministry of Commerce Secretary Md Ghulam Hussain was present in the seminar as the chief guest. Md Matiul Islam FCA, chairman of Industrial and Infrastructure Development Finance Company Limited, conducted the seminar as the session chairman, with ICAB president Parveen Mahmud in the chair. Dr Mahmood Osman Imam, professor of the Department of Finance, University of Dhaka, presented keynote paper. The ICAB president said a proper regulatory environment is required to ensure that the market is not misled about the potential of projects, and all valueprice sensitive information of the companies are rapidly made available to the market. The commerce secretary said gamblers over manipulated the stock market for their personal gains that caused the recent debacle. "This was very unfortunate for the general investors, as they lost a substantial amount of their hard-earned money," said Mr Hussain. He also urged the chartered accountants to play their due role while revaluation of company assets or making balance sheets, as the general investors invest in the share market on the basis of their report. Prof Imam said a section of chartered accountants give wrong asset revaluation for their personal interest.
Speakers urged the chartered accountant (CA) firms to remain honest, as a section of them are allegedly involved in manipulation of companies' balance sheets for their personal financial gains. "Many audit firms give wrong asset revaluation and manipulate the companies' real scenario for their own interest, which ultimately make the investors sufferers," they said. "Chartered accountants with their ethics, integrity, and professionalism can provide the foundation of efficiency in the capital market through assessing the companies properly," they said. They were speaking at a seminar titled "IPO Issue Management, Pricing and Role of External Auditor", held at the ICAB (The Institute of Chartered Accounts of Bangladesh) Auditorium in the city Saturday. They also said the pricing and allocation of the companies' initial public offering (IPO) must be fare and transparent, and the issue manager must be transparent and duly accountable to the regulatory body. For fixing price, underwriters, regulators and issue managers need to be implicated and also be applicable to allocation, they said. Ministry of Commerce Secretary Md Ghulam Hussain was present in the seminar as the chief guest. Md Matiul Islam FCA, chairman of Industrial and Infrastructure Development Finance Company Limited, conducted the seminar as the session chairman, with ICAB president Parveen Mahmud in the chair. Dr Mahmood Osman Imam, professor of the Department of Finance, University of Dhaka, presented keynote paper. The ICAB president said a proper regulatory environment is required to ensure that the market is not misled about the potential of projects, and all valueprice sensitive information of the companies are rapidly made available to the market. The commerce secretary said gamblers over manipulated the stock market for their personal gains that caused the recent debacle. "This was very unfortunate for the general investors, as they lost a substantial amount of their hard-earned money," said Mr Hussain. He also urged the chartered accountants to play their due role while revaluation of company assets or making balance sheets, as the general investors invest in the share market on the basis of their report. Prof Imam said a section of chartered accountants give wrong asset revaluation for their personal interest.