Ministry of Finance: Launch a three-year campaign to improve the quality and efficiency of financial and accounting supervision and punish violations of laws and regulations throughout the chain

On the 11th, the Ministry of Finance held a press conference on high-quality accounting development during the “15th Five-Year Plan” period.

Comprehensively strengthen the supervision of accounting firms’ professional quality

The relevant person in charge of the Ministry of Finance stated at the press conference that the Accounting Law and the Certified Public Accountant Law are the basic legal systems in the accounting field in my country. During the "15th Five-Year Plan" period, the Ministry of Finance will continue to do a good job in legislative work in terms of establishing supporting systems.

Lin Qiyun, director of the Accounting Department of the Ministry of Finance, said that it is necessary to speed up the revision of supporting rules and regulations such as basic accounting work standards, accounting firm practice licenses and supervision and management measures, and CPA registration methods, implement the approval requirements for the establishment of "certification first, license later", study and improve systems such as audit access management for listed companies, orderly promote audit rotation, and promote the healthy and orderly development of the industry.

Punishing financial statements and auditing violations across the entire chain

The relevant person in charge of the Ministry of Finance stated at the press conference that during the "15th Five-Year Plan" period, the Ministry of Finance will carry out a three-year campaign to improve the quality and efficiency of financial accounting supervision, maintain a high-pressure posture of combating financial fraud, and continue to increase supervision and inspection efforts.

Sun Feng, deputy director of the Supervision and Evaluation Bureau of the Ministry of Finance, said that on the one hand, we must carry out solid inspections on the quality of accounting information, severely crack down on illegal activities such as fictitious economic businesses, inflated profits, whitewashing of statements, etc., and promote the effective implementation of the national unified accounting system. On the other hand, the supervision of the professional quality of intermediary institutions such as accounting firms and asset appraisal agencies will be intensified, focusing on investigating and punishing issues such as forged audit evidence, collusion in fraud, meter-reading audits, and issuance of false reports, so as to effectively purify the professional environment.

Sun Feng said that in the past three years, the Ministry of Finance has organized local regulatory bureaus and local financial departments to conduct accounting information quality inspections on 18,000 companies, and imposed administrative penalties on 729 sub-accounting firms and 1,896 certified public accountants, including PricewaterhouseCoopers Zhongtian and Beijing Yatai International.