The 5th Meeting of the Latin American Corporate Governance Roundtable took place in Rio de Janerio, Brazil, 8-9 October 2004. The meeting aimed to increase understanding and develop recommendations on key elements of enforcement, including the legal and regulatory frameworks to facilitate effective enforcement, and the private sector and institutional investor role. It also considered a programme to promote implementation of the White Paper as a whole, including active monitoring and review of progress.
The agenda addressed issues including the legal, regulatory and institutional framework for enforcement – state of play and key challenges; encouraging the emergence of active and informed owners; civil enforcement: private rights of action; improving the variety and capacity of mechanisms for adjudicating disputes; the role of the press in promoting better enforcement; and a scenario for achieving more effective enforcement – the roles and responsibilities of different players.
Among the concrete outputs from the meeting were an issues paper setting out key issues of enforcement to address in the region, expert reports responding to a questionnaire highlighting recent developments in corporate governance enforcement and the overall legal and regulatory frameworks for enforcement in different Latin American countries; and a comparative synthesis paper on the approaches taken and results achieved in Argentina, Brazil, Chile, Colombia and Peru.
Roundtable participants concluded the meeting by raising a number of proposals for follow-up in the future work of the Roundtable, including:
Establishing a task force to help develop a policy brief on the enforcement issues and solutions discussed at the meeting;
Building on the questionnaire results to develop an overall framework for monitoring and benchmarking country progress against the Latin American White Paper on Corporate Governance, including use of indicators;
Bringing together issuers in a companies circle to develop a report providing concrete examples of companies that have internalised best practices and the recommendations of the White Paper, and to share this technology (and its benefits) with other companies in the region;
Working with institutional investors, including international financial institutions, to support their efforts to promote better corporate governance in the companies in which they invest;
Increasing understanding of enforcement issues for investors, judges, lawyers and the media through training programmes or other education and training efforts;
Strengthening dissemination of the recommendations, conclusions and findings of the Roundtable and the White Paper, including through increased availability of Spanish and Portuguese language materials.
The meeting was organised in co-operation with the World Bank Group (IFC) and was co-hosted by the Comissão de Valores Mobiliários (CVM), Institute for Brazilian Corporate Governance and Bovespa. It was co-sponsored by the National Association of Investment Banks (ANBID), the Research Centre for the Society of Lawyers (CESA), the Global Corporate Governance Forum (GCGF), and the Center for International Private Enterprise (CIPE).
- Mr. William H Witherell, Director, Directorate for Financial, and Enterprise Affairs (DAFE), OECD Mr. William H Witherell, Director, Directorate for Financial, Fiscal and Enterprise Affairs (DAFFE), OECD
- Mr. Marcelo Trindade, President, Comissão de Valores Mobiliaros (CVM), Brazil
Session 1:Legal, Regulatory and Institutional Framework for Enforcement – State of Play and Key Challenges
- Issues Paper on Enforcement, by Mr. José Luiz Osorio, Jardim Botanico Partners, Brazil
- The Legal, Regulatory and Institutional Framework for Enforcement Issues in Latin America: A comparison of Argentina, Brazil, Chile, Colombia and Peru, by Mr. Daniel Blume, Principal Administrator, Corporate Affairs Division, OECD
- Questionnaire on Enforcement Issues: Results for Argentina, Brazil, Chile, Colombia and Peru
- Presentation by Mr. Carlos Eyzaguirre, Consultant (former Chair of CONASEV), Peru.
- Presentation by Ms. Isabella Saboya, Investidor Profissional, Brazil
Session 3 : Private Rights of Action
Session 4: Improving the Variety and Capacity of Mechanisms for Adjudicating Disputes
- Mr. Pedro A. Batista Martins, OF Counsel, Barbosa, Mussnich and Aragão, Brazil
- Mr. Mariano Fabrizio, Partner, Pastoriza & Eviner, Argentina
- Mr. Dieter Linneberg, Advisor, Superintendency of Securities and Insurance (SVS), Chile
Session 6: A Scenario for Achieving More Effective Enforcement – The Roles and Responsibilities of Different Players
Latin American White Paper on Corporate Governance
The Latin American Corporate Governance Roundtable