Ordre des comptables agréés du Québec

Ordre des comptables agréés du Québec

January 31, 2007 12:27 ET

The Ordre des comptables agrees du Quebec Proposes a Solution to Improve Investor Protection

QUEBEC CITY, QUEBEC--(CCNMatthews - Jan. 31, 2007) - Daniel McMahon, FCA, president and CEO of the Ordre des comptables agrees du Quebec, presented a brief to the Commission on public finances that offers an innovative solution for improving investor protection. The solution draws on methods already applied by the Financial Transactions and Reports Analysis Centre of Canada (FINTRAC), an organization engaged in the fight against money laundering and terrorist activity financing.

"The Ordre believes it is possible to prepare a list of indicators that would allow chartered accountants to notify the Autorite des marches financiers (AMF) of certain facts that come to their attention when performing audit engagements. CAs would inform the AMF of the existence of facts already identified as indicative of suspicious transactions," explained Mr. McMahon to the members of the Commission. Such a list could include the obligation to inform the AMF of certain transactions that seem to be inconsistent with the client's apparent financial standing or usual pattern of activities. "The Ordre proposes to continue cooperating with the Autorite to develop a list of indicators that would allow the AMF to intervene quickly, thereby offering increased protection to investors," stated Daniel McMahon.

He pointed out that while the government has a role to play in the protection of investors in the mutual fund industry, each stakeholder must shoulder its fair share of responsibility. "The Ordre firmly believes that all precautions taken with respect to information sharing and fraud detection will be vain if the sanctions are not sufficiently severe to deter fraudsters. Adequate civil liability and stricter criminal penalties are essential to prevent fraud," mentioned Mr. McMahon.

All of the Ordre's actions in the last few years have focused on better supervising members and enhancing the protection of the public. A few examples are the creation of the Canadian Public Accountability Board, the amendment of the independence rules in the Code of Ethics of Chartered Accountants, and the adoption of the new standard on the auditor's responsibility to consider fraud. It is in this spirit that the Ordre is proposing to prepare a list of indicators that would allow auditors to be proactive in detecting and preventing fraud," concluded the President and CEO.

With a membership of close to 17,300 CAs, the Ordre des comptables agrees du Quebec carries out its primary mission to protect the public by enforcing the most demanding admission criteria and ethical standards. CAs bring superior financial expertise, strategic thinking, business insight, and leadership to become an integral part of any organization.

The brief prepared by the Ordre des comptables agrees du Quebec is available on the home page of the Ordre's website at http://www.ocaq.qc.ca/.

Contact Information

  • Ordre des comptables agrees du Quebec
    Stephanie Gareau
    External Relations Manager
    514-982-4615
    s.gareau@ocaq.qc.ca