Attorney Carlos José Rolim de Mello, a partner with Machado Meyer, Sendacz e Opice Advogados, presented last Monday in New York the seminar "The New Brazilian Corporate Law: One Year Later" and concluded that some practical aspects of the new corporate law are still unknown by most of the foreign investors, preventing improvements in the country’s reliability that would boost investments in Brazil. For an audience of 128 people- including foreigners and Brazilians acting in U.S. financial institutions and companies -, the event could measure the practical impact of Law No. 10.303/2001, one year after it entered into force on March 1, 2002. Rolim de Mello believes the new law is an important advance for the country but sill not very well known outside Brazil. "The new law brought progress in four core institutions of the capital markets: transparency, corporate governance, self dealing transaction rules and exit strategy mechanisms, and the practical action of CVM (the Brazilian securities regulator), whether by editing rules or interpreting the law, has reinforced such advance". Rolim de Mello stresses that the main doubt of the foreigners regards the harmonization of the Brazilian law and usages to foreign laws regarding disclosure of relevant information, notably the U.S. Sarbanes-Oxley Act.

Sources:   Valor Econômico March 6, 2003 p.E1
Date of insertion:   10/03/2003 - 21:06:36