Lawyers poised for reporter role ; ;Lawyers may acquire a role as independent financial reporters for private companies, the latest stage of the company law review suggested last week.
It is also proposing the formation of a company law commission with sweeping powers.
;The review proposed a company law commission with subsidiary bodies to issue detailed rules and guidance, enforce reporting requirements, and to promote the needs of private companies.
;The review also endorses the abolition of compulsory audits for companies with turnovers lower than 4.8 million each year which make up 90% of UK companies.
Instead, such companies will need to draw up an annual independent financial review (IFR), to be signed off by a broader range of professionals.
;The Department of Trade and Industry steering group which published the consultation paper Modern company Law for a competitive economy: completing the structure is still considering which groups may be permitted to sign off the IFR, but confirmed that lawyers may be included.
;Eversheds partner Andrew Davison, chairman of the Societys company law committee, said there was no reason why lawyers with the appropriate training should not be able to sign off IFRs.
;Mr Davison also strongly endorsed the idea of a commission.
He said: We see the proposals as the first signs of success after a decades lobbying by the committee to establish a company law commission.
Such a commission would help to ensure that this countrys company law is not only up to date but can also react to facilitate enterprise.
;However, Mr Davison sounded a warning note, saying that if the reviews final recommendations due in May 2001 continued to call for a commission, the government must recognise the need for it to be properly established and funded.
;The consultation period is open until 28 February 2001.
;LINKS www.dti.gov.uk/cld/review.htm ;Jeremy Fleming
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