HC Deb 11 January 1994 vol 235 cc182-3W
Mr. Austin Mitchell

To ask the President of the Board of Trade what action he takes upon receiving a complaint about the conduct of the bodies acting as recognised supervisory bodies under the Companies Act 1989.

Mr. Neil Hamilton

I would first consider whether the complaint concerned the statutory duties imposed on the supervisory bodies by the Companies Act 1989. If so, I would refer the complaint to the relevant supervisory body for it to consider. If the complaint concerned the complaints procedure established by the supervisory body to meet its statutory duty under the Companies Act 1989, I would consider whether the body had properly discharged that duty.

Mr. Austin Mitchell

To ask the President of the Board of Trade what plans he has to take powers to provide that the recognised supervisory bodies do not threaten academic freedoms.

Mr. Neil Hamilton

None. I have no evidence that the recognised supervisory bodies act in the way the hon. Member implies.

Mr. Austin Mitchell

To ask the President of the Board of Trade whether he will seek to introduce legislation under which auditors of public limited companies will be required to file audited information about their affairs with the appropriate recognised supervisory bodies.

Mr. Neil Hamilton

I have no plans to do so.

Mr. Austin Mitchell

To ask the President of the Board of Trade what assurances he has sought or will be seeking on democracy and openness from the organisations acting as recognised supervisory bodies under the Companies Act 1989.

Mr. Neil Hamilton

Each supervisory body for company auditors was required to satisfy the Secretary of State that it met the requirements for recognition set out under part II of the Companies Act 1989. Sections 35 and 36 of that Act, and the Companies Act 1989 (Register of Auditors and Information about Audit Firms) Regulations 1991 (SI 1991/1566), require those bodies to make certain information available to the public about those eligible for appointment as company auditor. Section 37 of the Companies Act 1989 requires them to submit an annual report on audit regulation to the Secretary of State, copies of which are placed in the Library of the House.

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