11 Feb 2004

The International Organization of Securities Commissions has appointed a special Chairmen's Task Force, composed of chairmen of a number of member commissions, to organise and coordinate IOSCO's response to recent high profile incidents of securities fraud and market abuse. "As a priority, the Task Force will: identify potential new issues arising from recent cases, including concerns about transparency in the bond markets, the role of unregulated entities, the role of complex group structures, and appropriate levels of sanctions; review implementation of existing standards, including current mechanisms for international cooperation; and suggest responses aimed at producing appropriate regulatory incentives, such as improving risk identification and assessment by regulators and giving attention to uncooperative and under-regulated jurisdictions. The recent revelations of accounting and auditing irregularities serve to emphasize the critical importance of the initiatives that IOSCO and its national securities commission members have taken relating to corporate disclosures and the quality of audits of public companies.