Audit for Whom? Time to Review Roles of Independent Auditors in Hong Kong

The Hong Kong government has been reforming its laws regarding accounting practices in recent years, to pre-empt problems similar to that of Enron. It correctly recognizes an opportunity to enhance and distinguish the financial system in Hong Kong and create a competitive advantage for Hong Kong. The sixty-five billion dollar question is: what is the right approach for accounting practice reform? One obvious approach is to model reform after the Sarbanes Oxley Act (SOX). The SOX increases personal liabilities of senior management and introduces extremely cumbersome compliance processes (s 3 (b)(ix) of Minutes of Bills Committee of Financial Reporting Council Bill. (19 July 2005)). While this approach may be the right move for the United States, because rescuing investor confidence is paramount, a similar approach may not be optimal for Hong Kong. Hong Kong relies, to a great degree, on foreign investments and a heavy-handed approach may scare investments away (Charles E. Schumer &; Michael R. Bloomberg To Save New York, Learn from London, Wall Street Journal 1 Nov 2006). This paper, argues that failure of independent auditors was mainly caused by bad incentives. In particular, auditors were hired by and responsible to the management of companies. Thus, there is no surprise that auditors were less diligent in finding problems caused by management. Furthermore, proposing of an alternate to the SOA’s approach. Specifically, a new legal approach should be enforced that allows shareholders to sue auditors when failure to uncover accounting issues causes loss of shareholders’ values.     

Varieties of capitalism in Eastern Europe (with special emphasis on Estonia and Slovenia)

The authors proceed from the assumption that the institutional and economic efficiency of a particular country (or society) depends on its historic legacy or ‘path-dependence’, strategic interactions of the elite and the impact of the international environment. Estonia and Slovenia are both – not only economically, but also institutionally – perceived as relatively successful and prominent post-communist countries and new members of the EU. Yet they have developed completely different – in some aspects even diametrically opposite – regulative settings and socio-political arrangements. The main emphasis is on the connection between the dynamics and ideological preferences of political actors and the pace of reforms as well as institutional regulations. One can argue that the political elite in Estonia encouraged the shaping of the state in a direction close to the liberal-market model, whereas Slovenia is closer to the corporatist social welfare-state model. In both cases, some dysfunctional effects are evident that represent a new challenge to the elites and, at the same time, a test of their credibility and competence.     

Transformative Illegality: How Condoms ‘Became Legal’ in Ireland, 1991–1993

This paper examines Irish campaigns for condom access in the early 1990s. Against the backdrop of the AIDS crisis, activists campaigned against a law which would not allow condoms to be sold from ordinary commercial spaces or vending machines, and restricted sale to young people. Advancing a conception of ‘transformative illegality’, we show that illegal action was fundamental to the eventual legalisation of commercial condom sale. However, rather than foregrounding illegal condom sale as a mode of spectacular direct action, we show that tactics of illegal sale in the 1990s built on 20 years of everyday illegal sale within the Irish family planning movement. Everyday illegal sale was a long-term world-making practice, which gradually transformed condoms’ legal meanings, eventually enabling new forms of provocative and irreverent protest. Condoms ‘became legal’ when the state recognised modes of condom sale, gradually built up over many years and publicised in direct action and in the courts.     

State Facilitated Economic Abuse: A Structural Analysis of Men Deliberately Withholding Child Support

Economic abuse is well established as a widespread and damaging element of intimate partner violence. However research largely addresses cohabiting couples, with few detailed explorations of women’s longer-term experiences after separation. Further, researchers have not developed a gendered analysis of child support related economic abuse. Such an analysis requires understanding gender as a framework that organises institutions and relationships in ways that build and reproduce hierarchical relations of difference. In this paper, I present data from in-depth interviews with 37 single mothers to pursue a structural analysis of how men’s deliberate withholding of child support (termed child maintenance in some countries) can be a form of economic abuse that is facilitated through gendered state processes and institutions that order child support transfers. I argue that masculine financial discretion structures policy and organizational practices in ways that legitimate men’s financial agency at the expense of women’s financial autonomy. On-going compliance issues are not the result of a failure of Australia’s Child Support Program, but suggest that the state’s role can be one of regulation, not prevention, of economic abuse. Thus, Australia’s Child Support Program normalises the potential for post-separation economic abuse.