Paschal Mooney (Fianna Fail)

I have been following this debate with great interest and have been waiting for us to deal with the amendments under discussion. Senator Burke has outlined some of the concerns. I am seriously concerned that the good work that has been done to make this economy competitive is being undone because of over-regulation in the company law area, particularly since the passage of the 2001 Act.

I do not necessarily agree with the detail of all the amendments that have been tabled and I would like assurance from the Minister of State that there is recognition within Government that small and medium-sized businesses have become over-regulated. The vast majority of the businesses driving the economy are of a small and medium size. Accountants with whom I have spoken are dealing mainly with the types of businesses to which Senator Burke referred, namely, those run by husbands and wives or small businesses.

The compliance requirements provided for in the Bill do not confine themselves to accountancy and audits but concern such diverse matters as health, safety and other areas that are not traditionally within the remit of company practice. Accountants and those auditing books traditionally had client-accountant relationships – most accountants deal with clients on an ongoing basis – and would have accepted in good faith the detail being provided for audit purposes. However, they can no longer have such relationships because, if they are found non-compliant in any way, they will be liable for severe sanction.