Council announcements

Transcription

1 Council announcements The Council ratified the following submissions, giving comments on: The exposure draft of proposed improvements to International Accounting Standards to the International Accounting Standards Board. The consultation paper on the Review of the Financial Action Task Force (FATF) Forty Recommendations to the FATF Secretariat in France and the Commissioner for Narcotics in Hong Kong. The proposed Committee Stage Amendments to the Inland Revenue (Amendment) Bill 2000 to the Inland Revenue Department. The Companies (Amendment) Bill 2002 to the Legislative Council Bills Committee. The Council approved the issue of the Interpretation 19 Intangible Assets Website Costs as a final Interpretation effective on 15 October The Council approved the following nominations/ appointments: Doug Oxley, Stephen Chang and YB Tse as Assessors for the re-accreditation exercise of the Chinese University of Hong Kong s BBA (Hons) in Professional Accountancy Programme. David Smyth, a partner of the law firm, Barlow Lyde & Gilbert, as a member of the Professional Risk Management Committee in place of Patrick Fitzgerald of Arthur Andersen who has resigned from the Committee. Tam Tai-pang as the Qualification Programme (QP) Module D (including PC Tax Planning) Examination Panelist, commencing from the February 2003 session. Choy Chak Wa, Peter as the QP Module B Examination Panelist, commencing from the February 2003 session. Yim Kwok-cheong as the Final Professional Examination Panelist, commencing from the December 2002 session. Wong Miu Wah, Rita as the Transitional Examinations Paper I Examiner, commencing from the December 2002 session. Cai Yu, the newly appointed manager (Corporate Affairs Mainland & International Affairs) as the other representative of the Society to sit on the Advisory Group of Foreign, Hong Kong, Macau and Taiwan Experts in place of Elaine Chan. The Council approved the Society s participation in the Opening Ceremony of the Economic and Trade Office of the Government of the HKSAR cum Exhibition held on 14 October 2002 in Guangzhou. EGM on rebranding On 11 November 2002, the Society held an Extraordinary General Meeting (EGM) to consider the Resolution to change the name of the Society, its membership structure, membership designations and the descriptions of the practice units through necessary amendments to the Professional Accountants Ordinance. A total of 86 members attended the EGM and the above Resolution was carried by a majority of members present and voting in person or by proxy at the meeting. According to the proposal under the Resolution, the name of the Society shall be changed from Hong Kong Society of Accountants (HKSA) to Hong Kong Institute of Certified Public Accountants (HKICPA) with its Chinese name remaining unchanged as!"#. As for the membership structure, there will be two colleges of members, Full Member and International Affiliate. Their designations shall be as follows: Full members shall be designated Certified Public Accountant or CPA in short and, while fellows shall be designated Fellow of the Hong Kong Institute of Certified Public Accountants or FCPA in short and!". Full members holding a practising certificate and practising in their own name may elect to add the word Practising and!" after their designation. International Affiliates shall be designated International Affiliate of the Hong Kong Institute of Certified Public Accountants and!"#!" #. At the EGM, president Alvin Wong emphasised the importance of these proposals. We are not merely proposing to change the name of HKSA to which we have become so accustomed over the past three decades. We are changing the branding to reflect the qualities of our membership and to provide our membership with a nomenclature that is internationally known as reflecting these qualities, Mr Wong said. The proposals will need to go through the necessary legislative changes by the Legislative Council before they can be actually implemented. DECEMBER 2002 THE HONG KONG ACCOUNTANT 7

2 New appointment The Society recently became a founding member of the International Innovation Network (IIN). The IIN was formed in July 2002 and its current membership comprises 18 national institutes from 17 countries in Europe, Asia Pacific and the Americas representing a significant proportion of the world s accountants. The mission of the IIN is to provide a vehicle for collaboration between network members in taking a leadership role in developing and sharing ideas for innovative products and services for the benefit of the global accounting profession. Through its membership of the IIN, the Society aims to provide its members with access to a comprehensive range of innovative solutions that meet the changing needs of the accounting profession, the businesses they serve and the public interests they protect. In demonstrating the Society s commitment to the IIN and to facilitate the adoption of innovative products for its members benefits, the Society has appointed Gary Wong as project director (Innovation and Technology). Mr Wong will be responsible for contributing to the development of the Society s strategy on members innovation and to facilitate the process of innovative product selection, adaptation, implementation and promotion/marketing in Hong Kong. Mr Wong will also manage and coordinate the development of a training New registrations programme aimed at widening accountants professional skills in the area of information technology. He will be providing secretarial support to the Members Innovation and Technology Committee and various task forces and working groups formed under the IIN Project, and liaising with the IIN Board. Prior to joining the Society, Mr Wong was the business development manager of an international software vendor responsible for sales and marketing activities in Asia Pacific and Greater China. He is a qualified accountant in Hong Kong, UK and Canada, and has accumulated a variety of business experience in his previous appointments as consultant, operations director, financial controller and auditor. Gary Wong, project director (Innovation and Technology). The Council recently approved the registration of the following corporate practice effective from November 2002: Corporate practice Katax CPA Ltd!"#$%&'() Statistics update As of 15 November 2002, the Society s statistics were as follows: 20,065 Members 3,132 Practising Certificate Holders 1,078 Firms 119 Corporate Practices Name of directors Chan, Steven Kwok Keung Chu Ping Hang (Non-Practising Member Director) Cessation of 2003 pocket diary To commemorate the Society s 30th anniversary in 2003, the Society will be producing a special complimentary souvenir item for all members. This souvenir will replace our 2003 pocket diary in light of the Society s possible name and logo change during Public service appointments Peter Wong, GBS, JP ( ) has been re-appointed a member of the Court of the University of Hong Kong for three years with effect from 1 December Eddy Fong, SBS, JP ( ) has been appointed as a director of the Hong Kong Applied Science and Technology Research Institute Co Ltd for two years with effect from 21 October Patrick Wong, JP ( ) has been appointed a member of the Appeal Board on Closure Order (Immediate Health Hazard) for three years with effect from 15 November Lost contact The Society has lost contact with the following members: Au, Ching Yee, Gentiana ( ) Cheung Siu Wah, Portia ( ) Chu, Dennis Hon Wing ( ) Davis, Jeffrey Nelson D Mello, Royston Charles Heung Tsan Fai ( ) Hsu, Ava ( ) Hsu, Duff Karmen ( ) Kan Yuen Kim ( ) Keung Mei Wah, Jennifer ( ) Leung Ka Fai ( ) Ma Pak Wai, Benny ( ) Mak, Kina Ching Yee ( ) Man, Helen Shu Yen ( ) Siu Kit Yee ( ) Tan Xieu Lenard ( ) Walsh, Garoid Donal Whitman, John David Wu Wai On ( ) If you can help locate these members, please call Daisy Yeung on tel:

3 Winners of the BCGD Awards with Prof Judy Tsui (first left), David Sun (second left) and Guest of Honour Tsuguoki Fujinuma (sixth left) at the prize presentation ceremony at the World Congress Gala Dinner. Simon Penney (right), chief financial officer of the Hongkong and Shanghai Banking Corporation Ltd, receiving the Diamond Award in the Hang Seng Index Category from Tsuguoki Fujinuma. Peter Tse, executive director and chief financial officer of CLP Holdings Ltd, receiving the Platinum Award in the Hang Seng Index Category. BCGD Awards 2002 The Society held a press conference on 14 November 2002 to announce the results of the third annual Best Corporate Governance Disclosure (BCGD) Awards. Officiating and representing the Society at the press conference were president and chairman of the Awards panel of judges Alvin Wong; vice-president and chairman of Corporate Governance Committee David Sun; and vice-chairman of Corporate Governance Committee and chairman of the Awards Organising Committee Prof Judy Tsui. The event was well attended by more than 30 journalists and widely reported in the media. The award presentation ceremony was held the following week at the Gala Dinner of the 16th World Congress of Accountants on 19 November 2002 at the Hong Kong Convention and Exhibition Centre. Award winners received their trophies from the immediate past president of the International Federation of Accountants, Tsuguoki Fujinuma, who was the Guest of Honour at the presentation ceremony. Li & Fung Ltd was named the winner of the Significant Improvement Award while HSBC Holdings plc continued to top the standards. The Significant Improvement Award was introduced for the first time in this year s Awards, with greater emphasis placed on encouraging voluntary, internally-driven improvements in corporate governance disclosures and practices. HSBC Holdings plc was the winner of the Diamond Award in the Hang Seng Index Category of the competition for the third consecutive year. The winners of the Awards are listed in the table below. This year s Awards competition involved reviewing the annual reports of 120 companies and organisations, nearly double the number from last year. The judges and reviewers found signs of some general improvements in corporate governance disclosures and practices in Hong Kong. Some of the better annual reports issued by family-owned businesses are now reasonably comparable with some of the larger international companies in the extent and quality of disclosures. The Awards process involved assessing the entrants annual reports for the 2001/ 02 financial year in terms of the quality and standard of presentation, disclosure of corporate governance information and the Award category Significant Improvement Award Hang Seng Index Category Diamond Platinum Gold Special Mention Non-Hang Seng Index Category Diamond Platinum Gold Public Sector/Not-for-profit Category Diamond underlying governance practices that these revealed. We are happy with the response to this year s competition. This gives a good indication of an increasing awareness of the importance of good corporate governance, said Prof Judy Tsui at the press conference. The range of entries this year included well-known conglomerates, family-controlled corporations from different sectors and of different sizes, and Mainland business entities, including a number of firsttime participants. Shareholders and investors both locally and overseas are demanding greater corporate transparency and disclosure and the increasing efforts being made by the local regulators to encourage improvements, as well as the promotional efforts of bodies Winners Li & Fung Ltd HSBC Holdings plc CLP Holdings Ltd Li & Fung Ltd Swire Pacific Ltd Kerry Properties Ltd Hsin Chong Construction Group Ltd Tai Fook Securities Group Ltd Airport Authority Hong Kong 10

4 William Fung, group managing director of Li & Fung Ltd, receiving two awards, the Gold Award in the Hang Seng Index Category and the Significant Improvement Award. Chew Fook Aun, chief financial officer of Kerry Properties Ltd, receiving the Diamond Award in the Non- Hang Seng Index Category. V-nee Yeh, chairman of Hsin Chong Construction Group Ltd, receiving the Platinum Award in the Non-Hang Seng Index Category. Peter Wong, managing director of Tai Fook Securities Group Ltd, receiving the Gold Award in the Non-Hang Seng Index Category. Raymond Lai, finance director of Airport Authority Hong Kong, receiving the Diamond Award in the Public Sector/Not-for-profit Category. such as the Society, all help to explain the progress being made. The Society initiated the Awards competition three years ago to supplement the work that the Society has been doing since 1995 to publish guidance on different aspects of corporate governance. The most recent publication, A Guide to Effective Audit Committees, was issued this February. The Society welcomed the signs of general improvements in Hong Kong s corporate governance standards even though many businesses are currently operating in tough economic conditions. The reviewers and judges observed that an increasing number of listed companies went beyond the minimum legal and regulatory requirements. However, the Society believes Hong Kong cannot afford to be complacent as similar efforts are also being made in other jurisdictions in the region and around the world to improve their own corporate governance standards. Other improvements that we should like to see to strengthen transparency and accountability include the disclosure of more details on the remuneration policy for directors, the nature of interests held by directors and related party transactions, as well as the role and function of the board, number of meetings of the board and committees, and attendance records of individual directors, said David Sun in summarising the judges remarks on the standard of this year s entrants. When announcing the list of winners at the press conference, Alvin Wong congratulated Li & Fung, winner of the Significant Improvement Award. The company provides a good role model for family-run listed companies to follow in striving to improve their own corporate governance structures and practices. On the evidence of its latest annual report, the company has clearly shown a commitment to progress in this area, Mr Wong explained. Mr Wong also congratulated HSBC Holdings plc on its continued commitment to good corporate governance that goes beyond mere compliance with Hong Kong and more stringent overseas listing requirements. As for the Non-Hang Seng Index Category, the judges acknowledged that as the companies in this category are quite commonly family-controlled business and are less likely to be subject to the requirements of more stringent overseas listing rules, improvements in their corporate governance would generally be self-initiated and voluntary. As such, they should particularly be commended. In the Public Sector/Not-for-profit Category the judges found the decision difficult to make due to the very diverse nature of the organisations and the general lack of benchmarks against which to judge performance. Nevertheless, they considered that the Airport Authority Hong Kong s annual report reflected a solid allround product. President s engagements On behalf of the Society, president Alvin Wong, attended the following events in November 2002: Hong Kong Institute of Facility Management s annual dinner on 4 November. Luncheon meeting with the Secretary for Home Affairs on 6 November. Hong Kong Institute of Directors fifth anniversary dinner cum presentation ceremony for the Directors of the Year Awards 2002 on 6 November. Board of Review s (Inland Revenue Ordinance) annual luncheon on 15 November. Hong Kong Institute of Surveyors annual dinner on 22 November. Hong Kong Institute of Real Estate Administration s annual dinner on 25 November. New Council ruling Administration charge for replacement of a registration certificate The Council recently resolved that with immediate effect the administration charge for the replacement of a membership certificate will be reduced from 50 per cent for the prevailing first registration fee for membership to 25 per cent (ie HK$350 for 2003). The same policy will also apply to the replacement of a practising certificate or firm/corporate practice registration certificate. DECEMBER 2002 THE HONG KONG ACCOUNTANT 11

5 Reception for June 2002 graduates The reception for graduates who completed the HKSA Qualification Programme in June 2002 was held at the Luk Kwok Hotel on 18 October The reception, organised by the Student Training and Development Committee (STDC), aimed to provide an opportunity for graduates to network. Nineteen out of the cohort of 29 graduates enrolled in the June 2002 session and all of them attended the reception. This event, the first QP graduates reception, included cocktails, dinner and entertainment. A working group of five graduates was formed who were responsible for the entertainment and being masters of ceremonies. The reception kicked off with a welcome speech by Dr Stella Cho, chairperson of the STDC. She congratulated the graduates on their efforts and discussed recent developments at the Society. Dr Cho s remarks were followed by dinner and entertainment, which comprised various games and a quiz on the Society s latest developments and membership application. Since this event was the first QP graduates reception, Alvin Wong, president of the Society, was invited to deliver a speech and to present a certificate to each graduate. Mr Wong shared his views on the recent economic situation in Hong Kong and the Mainland. Due to competition from the Mainland, he encouraged accountants to be better equipped in terms of language and professional skills, be familiar with international business practices and standards and well-placed in the business network, etc, to take full advantage of the many opportunities in the Mainland brought about by its accession to the WTO. Vincent Lau, a representative for the graduates, gave a speech to share his QP study experience and thanked the Society for introducing the QP which provides a learning platform with real-life case situations. The QP aims to sharpen students problem-solving skills and to nuture forward-thinking accountants. A group photo of the graduates and the Committee members ended the reception. Dr Stella Cho, chairperson of STDC, delivering her welcoming remarks. Alvin Wong, the Society s president, addressing the audience. QP graduates and guests enjoying the dinner. Participants working as a team during the games. Group photo after the reception. Procedures to change personal particulars To protect the accuracy of members personal data, the Society will not act on requests to change personal particulars. Since electronic mail is an unidentifiable means of communication as specified under the Personal Data (Privacy) Ordinance, as such, the Society is unable to ascertain the identity of the sender(s). Acting on requests to change personal data may give rise to inaccurate information being kept in the Society s membership records. Members who wish to change their personal particulars in the Society s records may employ the following means: Update the Personal Profile Member Information Update Form in the Members Only section of the Society s homepage at < membership>, Write to the Society, or Complete and return by post or fax a duly signed Membership Record Amendment Coupon which can be downloaded from the Membership Services Registration Matters Forms section of the Society s homepage. Early closing The Society s office and library will close early at 4:00 pm on Tuesdays 24 and 31 December 2002 for Christmas Eve and New Year s Eve, respectively. 12

6 Alvin Wong, the president (right), getting acquainted with new members. Cocktail reception for new members Group photo of new members with Council and committee members. The Society held a cocktail reception on 17 October at the World Trade Centre Club to welcome new members, who joined the Society between February and August More than 50 new members, along with Council and committee members attended the event. At the reception, Alvin Wong, the Society s president, addressed participants on the latest developments of the Society. It was followed by a presentation by Lee Kai-fat, the registrar & secretary-general, on the Society s structure and services. Kennedy Liu, Council member and chairman of the Community Services Committee, then introduced to members the Society s Accountant Ambassadors Programme. The occasion provided an excellent opportunity for new members to meet and network with fellow members in the profession. Qualification Programme (QP) Forum A QP Forum was successfully held on 5 October 2002 at the Excelsior Hotel. The Forum attracted about 85 accountancy professionals, workshop facilitators and QP graduates including those from academia, private practice and government departments. The Forum began with opening remarks by Dr Stella Cho, the chairperson of the Society s Student Training and Development Committee. Following on Alvin Wong, president of the Society, delivered a keynote speech on the QP s benefits. To provide participants with a better understanding of the QP, Georgina Chan, the Society s director of Education and Training, spoke about the QP s structural design and educational philosophy. During the Forum, 18 faculty members from various institutes were appointed as QP mentors, who will serve as counsellors to students on QP matters and also to advise them of the QP s benefits for their career development. In the second part of the Forum, a panel session on The Way Forward for QP and Training of 21st Century Accountants was held. John Rasheed of Deloitte Touche Tohmatsu (DTT), Vivian Sun of PricewaterhouseCoopers (PwC) and Prof Judy Tsui of Hong Kong Polytechnic University (HKPU) gave their views on the Change in Business Environment of Accounting Profession, Changes in the Market and the Impact on Young Professionals and the Perilous Future of Accounting Education respectively. Joining these panel speakers and discussion were Edward Chiu from The University of Hong Kong (HKU), Dr Richard Simmons from Lingnan University and Georgina Chan. The audience also actively participated in the panel discussion and gave many comments. To echo the rapid changes in today s environment, Tze Tu Ho, senior consultant of Executive Access, presented on change management, specifically Who Moved My Cheese? based on a popular book during the luncheon to wrap up the Forum. Panel speakers include (from right) John Rasheed of DTT, Vivian Sun of PwC, Prof Judy Tsui and Dr Stella Cho of HKPU, Georgina Chan of HKSA, Richard Simmons of Lingnan University and Edward Chiu of HKU. (From left) Dr Stella Cho, Director of Audit Dominic Chan, the Society s president Alvin Wong, vice-president Edward Chow and Council member Michael Chan. Alvin Wong (right) presenting a certificate of appointment to one of the QP mentors. 14

7 Exhibition and opening ceremony of Guangzhou Economic Trade Office An opening ceremony cum one-day exhibition of the HKSAR Government s Economic Trade Office in Guangzhou entitled! was held on 14 October Taking this opportunity to promote Hong Kong s professional services, the Hong Kong Coalition of Professional Services coordinated with professional associations in Hong Kong to organise this exhibition based on three themes, including financial and management services. The Society s involvement included the following: Setting up an exhibition booth to promote Hong Kong s accounting services. The provision of free consultation services to Mainland participants. The production of display materials and the distribution of leaflets and CD- ROMs to participants. Thomas Wong, a member of the Society s Small and Medium Practitioners Committee, answering questions from visitors. Paul Chan (left), the Society s representative on the Coalition of Professional Services, and representatives from other professional associations. The Society s representatives in front of the exhibition booth. Authorised supervisors trainers of prospective accountants The New Prospective Members Training Guidelines for membership admission came into effect on 1 September 2002 on a voluntary basis. In mid-october 2002, the first cohort of 28 members was trained under the Society s Authorised Supervisors Scheme. Their appointment will last until 31 December 2005 and they will be eligible to train prospective accountants during the period. A list of the registered Authorised Supervisors is appended below: Mr ALLEN, Martin John Mr CHAN, Shu Kin* Mr CHAN, Sui Wah, Christopher Mr CHAN, Wai Sze, Francis Mr CHAN, Yu Man, Raymond Mr CHENG, Kam Wa, Thomas* Mr CHEUNG, Kwok Hung, Edward* Mr CHEUNG, Wing Yiu Mr FUNG, Chi Sum, Godwin Mrs HUI WONG, Yee Me* Mr HUI, Sik Wing* Mr KWAAN, Wing On, Francis* Mr KWAN, Pak Kong* Mr KWOK, Kai Bun, Bennie* (* Practising certificate holder for 2002) Individual members, their organisation and member practices are cordially invited to register as Authorised Employers/Authorised Supervisors of the Society to train prospective accountants by completing and returning the application form which is downloadable from the Prospective Members Training Guidelines section at the following Society webpage membership/registrationmatters/ registration. Mr LAU, Hon Kee, Keith Vingo Mr LAW, Fuk Chuen* Mr LEUNG, Chi Hung* Miss LEUNG, Chui Lan Miss LI, Yuen Yu, Alice* Mr MAK, Man Cheung, George* Mr NG, Yam Hoi, Joseph* Mr NGAN, Kin Cheung* Mr TSAO, Yea Tann, Simon* Ms WONG, Kwok Yee, Gloria Mr WONG, Ming Wai, Rayson* Mr YAM, Leung Bun Mr YU, Yu Kin* Ms YUNG, Tsui Yee, Linda* HKAAT news The 2002/03 HKAAT Board The 13th Annual General Meeting of the Association was held on 9 September The following is the list of Directors appointed for 2002/03: Mr Chan Wai Hei, William Dr Stella Cho (HKSA Council Member) Mr Edward Chow (HKSA Council Member) Mr Chung Chuen On, Dennis Mr Wilson Fung (HKSA Council Member) Mr Ho Kwok Wah, George Mr Kong Tze Wing, James Mr Ng Man Kong, Jack Mr Ng Po Hing, Patrick Mr Doug Oxley (HKSA Council Member) Mr Pang Kam Hung, Kenneth Mr Tam Wing Kwong, David Mr Wan Shiu Kee Dr Yau Shiu Wing, Joseph Mr Yau Yin Kwun, Joseph Mr Yeung Che Keung Top students in the June 2002 Accounting Technician Examinations Paper 1 Financial Accounting Ho Cheuk Kee Mr Ho registered with the Association in July He successfully completed his examinations through self-study in the June 2002 diet and has now received the HKAT accreditation. 16

8 Paper 2 Business Communication Lam Ka Fung Miss Lam registered with the Association in July 2001, and sat the Accounting Technician Examinations for the second time. She completed the Diploma in Business and Secretarial Administration at the Sacred Heart Canossian College of Commerce this year. She is now an accounts clerk with Mrs Fung Yiu Hing Memorial Primary School. Paper 3 Cost Accounting Cheung Hoi Man Miss Cheung registered with the Association in July This year, she completed the Diploma Course in Business and Secretarial Administration at the Sacred Heart Canossian College of Commerce. Paper 4 Information Technology Applications in Accounting So Tin Hung, Tony Mr So registered with the Association in November He studied for the Information Technology Applications in Accounting course at the Hong Kong School of Commerce in He is now an accountant with Datacom Enterprises Ltd. Paper 5 Hong Kong Taxation Cheung Wai Hen Mr Cheung registered with the Association in October He was granted an exemption from Paper I Financial Accounting based on a pass with distinction in the LCC&I Third Level Accounting Examination. He studied for the Hong Kong Taxation course at the Hong Kong School of Commerce and is now an accounts clerk with Parktree Holdings Ltd. Paper 6 Hong Kong Business Law Fong Man Wai, Kammy Miss Fong registered with the Association in November She studied for the Hong Kong Business Law course at the School of Continuing and Professional Education of the City University of Hong Kong. She is now an officer with the Housing Department. Paper 7 Advanced Accounting Heung Ho Yan Miss Heung registered with the Association in August She was granted exemptions from Papers 1 to 6 and Paper 8 based on her Higher Diploma in Accountancy from the City University of Hong Kong. Miss Heung successfully completed her examinations in the June 2002 diet and has received the HKAT accreditation. She is now an audit trainee with WH Lam & Co. Paper 8 Auditing Tam Man Fai Mr Tam registered with the Association in November 2001 and this year was the first time he sat the Accounting Technician Examinations. He was granted exemptions from Papers 1, 3 and 4 based on his Diploma in Accounting and Management from the Caritas Bianchi College of Careers. He is now working with Global United Logistic (HK) Ltd as an assistant accountant. 18