Audit Committee Formation in the Aftermath of 2007-2009 Global Financial Crisis, Volume III

Introduction

The evolution of audit committees shows that the audit committee has evolved from a debate over whether or not to voluntarily create audit committees to the mandatory requirements for establishment of audit committees, and now in the light of current corporate governance reforms, to how to effectively integrate the audit committee into corporate oversight functions as an important element of internal mechanisms for corporate governance. Today, audit committees operate in an environment of ever-increasing corporate governance reforms established to protect investors and the public from financial scandals. Audit committees, in complying with emerging corporate governance reforms, are striving to improve their oversight effectiveness. ...