Goshen Report, 2006

Israel Current 2006

The Goshen Report was published by the Goshen Committee and adopted by the Israel Securities Authority. It focuses on improvement of director independence, particularly regarding approval of related party transactions, improvement in the workings of audit committees, improvement of corporate disclosure and accountability, as well as the establishment of a Court for Securities and Corporate Offences. The committee specified that the best way to implement the principles contained in the report is through the “imposition” of disclosure requirements on public companies. The committee questioned the approach of requiring companies to explain if they do not adopt a specific principle. Looking at the experience in other countries, it concluded that such explanations, particularly when they are legally mandated, do not contribute material information to the investor. Such explanations can serve as a smoke screen and undermine the intent of disclosure requirements.

Scope

Governance

Industry sectors covered by the instrument

All/none specified

Organizations covered by the instrument

All listed companies

Issuer type

Financial Regulators

Type of instrument

Code of conduct or guideline

Mandatory or voluntary

Mandatory

The geographical scope

National

Project Partners