Audit Committee Requirement For Listed Companies

Listed companies are required to establish audit committees by approximately the middle of December 2009.

The change will require the supervisory board of every listed company to appoint an audit committee with at least three members one of whom is both independent and qualified in accounting and finance. However, supervisory boards with only five members (the legal minimum) are allowed to perform the audit committee tasks themselves.

Listed companies that have yet to fix the agenda for their ordinary general meetings should, where necessary, consider appointing a new member of the supervisory board who satisfies these requirements. This may also involve a change to their articles of association or internal regulations.