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A top European auditor says regulators here must think about legislation to force listed companies to setup audit committees. Few of Sri Lanka’s over 200 public firms have independent audit committees that help protect the rights of minority shareholders.
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Frank Brebeck a vice president of PriceWaterHouseCoopers a “big four” audit firm in Germany spoke to LBR. Excerpts from the interview
Shamindra Kulamannage: Do you think regulators in emerging markets like Sri Lanka should tighten their grip to improve corporate governance?
Frank Brebeck: It makes sense. You must develop best practices to suit your needs looking at the history and other territories.
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SK: Do you think tighter regulations helped like in the US or EU helped to narrow the expectations gap?
FB: Nothing can hinder criminal energy. I do not want refer to any specific names but you would know.
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Yes, the tough governance rule rules can narrow down the chances of making mistakes.
SK: What c