Press Release

Financial reporting paramount for company's financial health, says CA Suresh Prabhu

The former Union Minister and founding Chancellor of Rishihood University gave insights into financial reporting and its impact on business at the international conference organized by ASSOCHAM

21st July 2022, NEW DELHI: While addressing an august gathering at the 2nd International Conference - Financial Reporting & Control today, chief guest Shri CA Suresh Prabhu, former Union Minister, founding Chancellor of Rishihood University and Visiting Professor, London School of Economics and Political Science said that Integrated Reporting is an emerging area as a new paradigm in financial reporting and implementation of IR improves the financial performance. The conference was organized by the apex industry body, Associated Chambers of Commerce and Industry of India (ASSOCHAM).

Shri Prabhu, who addressed the conference virtually, said, India has witnessed continuous improvement in corporate disclosures in the past decade, which available to investors and public at large. “These efforts have nudged businesses to be accountable to stakeholders instead of just shareholders and align with global developments prompting organizations to be sustainable and responsible towards their environment and society’’, he stated.

Guest of honour, Shri Subhash Chandra Baheria, Member of Parliament - Lok Sabha; Member, Committee on Public Accounts; Standing Committee on Finance; Standing Committee on Labour, Textiles and Skill Development stressed on the fact that Improving financial reporting is a key to strengthen corporate governance and control. He said, “Tracking each and every critical transaction under the technological environment is required and only focus on compliances to regulations with honesty in letter and spirit can ensure the desired outcomes’’. The use of Automation for financial data and controls alongside conducting frequent risk assessments, internal and external audits and turning out to be transformative, he added.

In her address at the same event, Dr. Aditi Haldar, Director, Global Reporting Initiative (GRI) South Asia & Former World Economic Forum GAC Member said that it was important for the government and regulators to try to build trust and help businesses gain respect for stakeholders. She added, “Sustainability is integrated into the business and is evident at each stage of the

project cycle. There is a need for business goals to be in line with climate change concerns and global efforts to mitigate its impacts and make it a responsible corporate organisation.”

Ms. Preeti Malhotra Chairperson, ASSOCHAM National Council for Corporate Affairs, Company Law and Corporate Governance; Chairman, Smart Bharat Group; & Past President, ICSI said adaptability is required in geo-political equations and domestic businesses. ‘’Financial reporting and control are ways to strategize the business,’’ she added.

CA (Dr.) Ashok Haldia Chairman, ASSOCHAM Task Force for Accounting Standards, Sustainability Accounting, and Integrated Financial Reporting elaborated on the accounting standards and systems having undergone numerous transformations. “It is often said that accountants are responsible for quality of financial reporting, but the entire value chain plays a major role in financial ecosystem,” he said.

Mr. Vishal Divadkar, Partner & Head, Audit & Assurance, MSKA & Associate, in his address, emphasized on emerging developments, challenges and solutions for fair trade practices.

A report by ASSOCHAM-BDO Knowledge, titled Recent Amendments to Governance and Reporting Requirements, was released at the event.

The event concluded with a vote of thanks by Shri Vijay Sachdeva Co-Chairman, ASSOCHAM National Council for Corporate Affairs, Company Law and Corporate Governance, who also shared his insights on the outlook of ESG (Environmental, Social, and Governance) norms and regulations which are turning to be the new normal for the corporate accounting systems.