The Committee of Sponsoring Organizations of the Treadway Commission (COSO) has announced that it has withdrawn its draft Corporate Governance Framework (CGF). The draft CGF was in its consultation phase.
COSO says that the decision was made in collaboration with the National Association of Corporate Directors (NACD) and ‘comes amid a shifting regulatory and economic landscape for US businesses and follows the recent passage of a wide-ranging federal law that introduces significant changes to corporate reporting and planning requirements’.
The COSO statement goes on to say: “In light of these developments, COSO and NACD recognise the importance of ensuring that any revised draft framework aligns with the existing requirements and evolving expectations placed on public companies.”
COSO will now take time to evaluate the extensive feedback received to date about the draft and will engage further with stakeholders to determine a way forward.
The Corporate Governance Framework was aimed at complementing and aligning with the existing COSO internal control and enterprise risk management frameworks.
