Regional-focused Compliance - Governance, Risk, and Compliance Topic for Oracle Applications - page 402

As a budgetary legislation, it touched on many different aspects of government
operation. Provisions included measures about corporate disclosure, auto insurance,
and tax. Thus, only a small portion of Bill 198 was relevant to Sarbanes-Oxley issues.
In June 2003, all Canadian securities commissions (except the British Columbia
Securities Commission) issued three regulations for public comment designed to
build on Bill 198:
• Multilateral Instrument (MI) 52-108, which would require issuers of
securities to employ only those auditors participating in an independent
oversight program established by the Canadian Public Accountability Board.
• MI 52-109, which would require chief executive oficers and chief inancial
officers to personally certify that their company's annual and interim
filings do not contain any misrepresentations and that such filings fairly
present the corporation's financial condition. MI 52-109 has been agreed to
by the Canadian Securities Administrators (CSA), and covers additional
Sarbanes-Oxley issues.
• MI 52-110, which regulates the role and composition of the audit
committees of any company issuing securities.
UK Corporate Governance Code 2010
The UK Corporate Governance Code 2010 (from here on referred to as the Code )
is a set of principles of good corporate governance aimed at companies listed on
the London Stock Exchange. It is overseen by the Financial Reporting Council and
its importance derives from the Financial Services Authority's Listing Rules. The
Listing Rules themselves are given statutory authority under the Financial Services
and Markets Act 2000 and require that public listed companies disclose how they
have complied with the code, and explain where they have not applied the code—in
what the code refers to as comply or explain . Private companies are also encouraged
to conform; however, there is no requirement for disclosure of compliance in private
company accounts. The Code adopts a principles-based approach in the sense that
it provides general guidelines of best practice. This contrasts with a rules-based
approach, which rigidly defines exact provisions that must be adhered to.