Amec’s letter to SEP emphasizes the importance of having financial statements approved by Boards of Directors

In October, Amec submitted a letter to CVM’s (the Brazilian Securities and Exchange Commission) Superintendent of Relations with Companies inquiring about the need of having quarterly financial statements approved by the Boards of Directors of publicly-held companies.
 
The letter highlights that the entity’s members were surprised about the positioning of some Boards of Directors that do not objectively approve of their quarterly accounting statements.
 
Some companies claim that the lack of explicit legal rules stating that Boards of Directors are to issue opinions about quarterly financial statements makes legitimate that the Boards only inform of the ITR content, with the Management being entirely responsible for the publication.
 
According to the letter, the entity clarifies: “The difference between the two positions – TO EVALUATE or ACKNOWLEDGE – is significant once when such statements are not subject to previous evaluations or comments, eventual contrary visions to the documents presented are minimized – many times with objection even to their inclusion in the records.”
 
To access the document, please visit http://amecbrasil.org.br/wp-content/uploads/2013/11/CARTA-PRESI-13-2013-AMEC-Consulta-sobre-aprovacao-de-ITRs-Assinada.pdf