Reports of company law breaches almost triple

The Institute of Chartered Accountants in Ireland (ICAI) has commented on the rise in reports of company law breaches by auditors.

The figures show an increase to 1,500 for 2003, up from 399 for 2002.

It said that the interim report of the Office of the Director for Corporate Enforcement (ODCE) proved that accountants and auditors are prepared to meet their reporting obligations when those obligations were clear and concise.

The Institute also said there was some way to go before satisfactory reporting arrangements were in place in other areas where auditors and accountants face reporting obligations.

ICAI chief executive Brian Walsh said: "We were happy to work with ODCE in 2002 in preparing the guidelines for accountants and auditors on their reporting obligations and the figures for 2003 show what can be achieved when there is clarity and effective guidance and when we work together."

He said that members faced additional reporting obligations under tax, company and criminal law and that in some cases the same offence has to be reported to different bodies.

He reiterated a call for the harmonisation of these reporting obligations so that accountants can be clear about their responsibilities, describing the current position as a "quagmire".