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Focuses on the impact of the U.S. Sarbanes-Oxley Act on information technology in Canada. Aim of the accounting law to curb corporate reporting fraud in American companies; Need for Canadians to comply if their firms are listed on U.S. stock exchanges or report to an American head office; Opportunity provided by the act to improve the underlying business processes.

Canadian companies arc going to have to live with the Sarbanes-Oxlcy Act, which was passed by the U.S. Congress in July 2002 and will radically overhaul that country's corporate governance and accounting laws. Most large Canadian corporations already have dual listings in Canada, usually on the Toronto Stock Exchange, and in the U.S. and are required to comply fully. There is a reasonable degree of negativity among Canadian securities lawyers about the Act. The main objections are that these rules, while not fully formulated yet, are too rigid and too strict. Despite these objections and uncertainty about foreign issuer exemptions Canadian lawyers, like their counterparts in Europe and Asia, are advising their clients to expect the worst and prepare to meet the toughest rules outlined under the Act.

Presents the view that options accounting rules in Canada need to be improved. Way that Standard & Poor's (S&P) announced that it would analyze company financials using stricter accounting standards; Decision of S&P to treat the cost of stock options as an expense; View that the cost of options will reduce the earnings of companies on the S&P 500 index.

The article examines the impact of a future change in Canadian accounting standards. Canada will switch to international financial reporting standards (IFRS) by 2011. There are major differences between IFRS assessment of consolidation and mergers and that of the generally accepted accounting practices previously in effect and still used in the U.S. The switch was made to bring Canada's system more in line with those of most countries.

The author reflects on the implications of new accounting rules in the U.S. for Canadian pension plan sponsors. He says that changes to generally accepted accounting principles (GAAP) in the U.S. may impact retirement plan sponsors' capital structures. He expects the Accounting Standards Board in Canada to prepare an exposure draft to amend the section of the Canadian Institute of Chartered Accountants Handbook to be consistent with the U.S. Statement of Financial Accounting Standards No. 158.

The article reports that Canada has done little to improve its financial reporting rules since the Enron scandal broke in 2001. Due to lobbying by the financial services industry, auditors are not held accountable for the results of their audits. Nor has the Canadian Accounting Standards Board done anything to improve the accessibility of income trust financial statements.

This article comments on new policy from the Canadian Securities Administrators. It's virtually pointless to audit a corporate financial-reporting control system in Canada when the company can simply turn to a multitude of weak accounting rules to fleece investors. Nevertheless, the Canadian Securities Administrators are barging ahead with assorted misguided proposals in the apparent belief that a control-system audit is a monumental step toward preventing financial-statement fraud. While most of the proposals have been adopted from post-Enron U.S. legislation, they show little or no recognition of how Canadian circumstances are vastly different, and require a grassroots change in thinking. Under Canadian accounting vagary, a financial-reporting control system could be airtight but still produce materially misleading financial statements. One reason Canada has a uniquely flawed process is that our politicians have allowed auditors to set their own accounting and auditing rules.

Focuses on Hollinger International and parent company, Hollinger Inc. The issue of financial reporting and unauthorized payments to Conrad Black and others; View that the directors bear some responsibility for not correcting the financial statements; Discussion of proposed Canadian financial reporting reform; Argument that financial failures could be prevented with cross-checks in the accounting system; The quality of cross-checks provided by auditors and validity of financial statements; Suggestion that Canada needs a new group of independent audit committee members; Idea that the power of Canada's auditor to set accounting and auditing rules should be withdrawn.

Discusses financial reporting in Canada and its impact on foreign investment. Problems pertaining to corporate accounting, when Canada allows auditors to set the accounting rules; Opinion that an independent accounting rule-setting agency should be established; The credibility gap between what companies report and what their actual financial status is; View on why reforms proposed by the Ontario Securities Commission, as of September 2, 2003, will not be successful.