Lord Lawson calls for review of IFRS accounting "fiasco."
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Tim Bush claims IFRS rules when it is applied to banks 'produce false profits ".
The former Chancellor, who now sits on the House of lords Economic Affairs Committee called for examination after awarded "absolutely devastating" evidence that the United Kingdom banks use incorrect accounting for as long as five years.
The evidence, which claims that the so-called international accounting standards (IFRS) hide the build up of risks for banks, was given by Tim Bush, a veteran of the city that is a member of the "urgent Issues Task Force" which examines the work of the Committee (ASB) accounting standards.
Lord Lawson said that theory President Bush "much sense" and asked a set of "proposals should be put in place to change" System.
Member of the Committee colleagues Lord Forsyth, who was also a conservative Minister and former JP Morgan, Assistant President considers view President Bush "explains why the specific banks in difficulty" it asked why claims not yet caused a "debate is raging.
President Bush responded: "I think it's a bit like the murder on the Orient Express: If you start to look at, there were many subjects, including government departments and regulators."
His views were rejected by CNC Ian Mackintosh as pattern "just simply wrong."M. Mackinstosh is on leave from gardening has recently been appointed as head of the International Accounting Standards Board.
Investigation of Lords, following a letter written by President Bush to the Government in August who warned of the "regulatory fiasco".
In the letter, first revealed by The Daily Telegraph, President Bush submits when applied IFRS banks involuntarily "product false profits and overvalued capital" who "" deceived creditors, misled shareholders, the Bank of England, the Financial Services Authority and other ".".
He argued that laws, excluding the need for a debt bad provisioning, accounts of the company, Bank giving a "false assurances" distorted and hampered directors and regulators see the build-up of leverage and other risques.Il said the system leads to "errors [made] of such gravity that it is difficult to overstate.
Mr. Bush said the Lords Committee that its first proposal to scrap IFRS accounting system and return to the old rules of GAAP UK replaced in 2005.
He said: "UK law society, be attached to [the Department of business] investigative Department had worked all tricks people received up to with more than 100 years and built safeguards in the law."
President Bush said that IFRS actually released "all guarantees only once.
He added: "I think we need UK GAAP return because London is because it has a competitive advantage in a legal framework and financial centre framework of reliable information standards comptables.Pour any reason that we decided to go to international standards which is potentially a race to the bottom".
