[Alpha Biz=(Chicago) Reporter Paul Lee] The key to the improvement of the internal control system announced by the financial authorities on the 22nd is to hold the CEO responsible if a "system failure" occurs to a financial company. Financial authorities believe that the implementation of the improvement plan will raise awareness among CEO and other executives, helping prevent financial accidents.

According to the improvement plan, the CEO of a financial company must first create a "responsibilities map" that allocates internal control responsibilities to each executive and submit it to the authorities.

An executive officer listed in the responsibility structure diagram shall perform his/her obligation to manage internal control in the area in charge. CEO will be given a general management obligation to oversee executive-specific activities. The scope and type of responsibilities will be included in the revised law enforcement ordinance in the future.

The Financial Services Commission predicted that 20 to 30 responsibilities will be listed in all three areas: management, risk management and sales. The U.K. Financial Supervisory Service (FCA) has a total of 27 overall responsibilities, including payment, liquidation and settlement, investment management, and financial and investment advice.

 

[ⓒ AlphaBIZ. 무단전재-재배포 금지]