What's New (Dec, 2015)

December 25,2015

On December 22, 2015, the Chairman and President Statement was published by JICPA in light of the administrative orders issued by the Financial Services Agency (FSA) against Ernst & Young ShinNihon LLC and its partners regarding a corporate scandal of a certain listed company.

JICPA, as a self-disciplinary professional body, takes this matter seriously, as this may potentially damage public confidence in capital markets and audits conducted by CPAs.

JICPA has already launched its own investigation into the past audit engagements of the audit firm and CPAs involved in the audits of the concerned company.

Based on the findings from the investigation, JICPA will implement appropriate measures in accordance with its constitution.

In order to promote even greater trust in audits that form a foundation of the healthy functioning of the capital markets, the Chairman and President Statement has reaffirmed that JICPA is committed to continue performing an extensive examination of the overall system of audit and take appropriate measures for the improvements in the system, while at the same time, urged all of its members to ensure that audits are performed appropriately, and with due professional care.

The Chairman and President Statement (Summary) can be obtained at:

http://www.hp.jicpa.or.jp/english/news/files/0-99-0-2-20151222.pdf

December 21,2015

During the week of November 29, Ms. Olivia Kirtley, President of International Federation of Accountants (IFAC), and Mr. Gary Pflugrath, Director, Public Policy and Regulation of IFAC, visited Tokyo and met with JICPA leadership and representatives from regulatory agencies, including the Financial Services Agency (FSA) and Certified Public Accountants and Auditing Oversight Board (CPAAOB).

Ms. Kirtley also gave a key note speech on professional relevance and attracting best and brightest at a symposium held on December 1, which attracted around one hundred participants interested in raising the awareness and relevance of CPAs in the healthy functioning of capital markets. The details of the symposium will later be published in Nikkei newspaper.

Followed by the symposium was a meeting with associate members of JICPA to exchange views on future prospects and global opportunities for CPAs.

On this occasion of her first visit to Tokyo, Ms. Kirtley also spoke about the importance of corporate governance and the roles of CPAs in enhancing a dialogue between companies and investors at the Integrated Reporting Forum held on December 2, which preceded the International Integrated Reporting Council meeting held in Tokyo on December 3.

December 15,2015

JICPA has become one of the associate members of the AFA at the120th ASEAN Federation of Accountants Council Meeting held in Manila on December 5, 2015.

AFA is the umbrella organization for the national association of the Association of South East Asian Nations (ASEAN) and has been established to develop and promote the accountancy profession in the ASEAN region in support of the socio-economic enhancement of the AFA member countries.

JICPA hopes to keep strengthening ties with AFA and AFA member bodies in supporting the development of the CPA profession and capital markets in the region.