21 July 2008

IASB: Trustees proposals on Constitution review

The proposals address a new Monitoring Group for the IASCF and the size and geographical composition of the IASB. Trustees expect to complete the first part of the Constitution Review in October, with the changes taking effect from 1 January 2009.

The proposals address a new Monitoring Group for the IASCF and the size and geographical composition of the IASB. Trustees expect to complete the first part of the Constitution Review in October, with the changes taking effect from 1 January 2009.

 

The Monitoring Group would have the responsibility of approving the selection of Trustees. The initial membership of the Group would comprise:

• the responsible member of the European Commission,
• the managing director of the IMF,
• the chair of the IOSCO Emerging Markets Committee,
• the chair of the IOSCO Technical Committee,
• the commissioner of the Japan FSA,
• the chairman of the US SEC, and
• the president of the World Bank.

 

The proposal would expand the IASB from 14 to 16 members by not later than 1 July 2012. Up to three members could be part-time. Approval of IFRSs and EDs would require 10 affirmative votes (9 if there are fewer than 16 IASB members serving). The proposal would also adopt new guidelines regarding the geographical diversity of the members of the IASB. The required geographical split of the IASB would be:

• four members from the Asia/Oceania region,
• four members from Europe,
• four members from North America,
• one member from Africa,
• one member from South America, and
• two members appointed from any area, subject to maintaining overall geographical balance.

 

A consultation on other elements of the IASC Foundation’s Constitution will be held during the course of 2009, with changes taking effect from 1 January 2010.

 

Deadline for comments is 20 Sept 2008.

 

Press release

Constitution Review

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