Basel Committee issues principles for enhancing corporate governance

by The International Law Office, November 5th, 2010.

Introduction

On October 4 2010 the Basel Committee on Banking Supervision issued a final set of Principles for Enhancing Corporate Governance in the banking sector. The principles are intended to assist both banking organisations in enhancing their corporate governance frameworks and supervisors in assessing the quality of those frameworks. The committee published initial guidance in 1999, with revised principles in 2006. However, since the adoption of the 2006 principles, there have been a number of corporate governance failures and lapses, many of which became apparent during the financial crisis that began in 2007, including:

  • insufficient board oversight of senior management;
  • inadequate risk management; and
  • unduly complex or opaque bank organisational structures and activities.

The revised principles address the following key areas:

  • board practices;
  • senior management;
  • risk management and internal controls;
  • compensation;
  • complex or opaque corporate structures; and
  • disclosure and transparency.

(continue reading… )

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s




Blog coordinator

Cefeidas Group

Archives

cgl-med-linked-in

cgl-med-linked-in
free counters

%d bloggers like this: