Shareholders Association Wins Suit Against Financial Reporting Council Of Nigeria

The Financial Reporting Council of Nigeria (FRCN’s) decision on audit committee chairman’s qualification has been reversed, as shareholders under the aegis of Independent Shareholders Association of Nigeria (ISAN), last week Friday, won the case against the Council.

The FRCN had in 2015, issued and published a statement that “any person contesting as Chairman of Audit Committee to annual report statement, accounts, financial report, return, and other documents of a financial nature, shall be a professional member of an accounting body established by act of the National Assembly.”

But ISAN considered the FRCN Rule 2(c) as an anomaly, and meddlesome in the extreme, saying it was against the letters and spirit of the Companies and Allied Matters Act (CAMA) Section 359. In a statement dated December 29, 2017, the National Coordinator of ISAN, Adeniyi Adebisi, explained that they engaged the Executive Secretary of the FRCN on a number of occasions.

Photo Caption: FRCN LOGO