The CFTC extended the comment period for proposed amendments to certain regulations that are applicable to the Annual Reports that a commodity pool operator ("CPO") must distribute for each pool that it operates. The extension of the comment period was published in the Federal Register. Comments on the proposed amendments now must be submitted by September 20, 2016.
The proposal would amend CFTC Rule 4.22(d)(2) to permit the use of alternative accounting standards other than U.S. Generally Accepted Accounting Principles ("GAAP"). These alternative standards include the International Financial Reporting Standards and other generally accepted accounting practices followed in the UK, Ireland, Luxembourg and Canada.
The CFTC also proposed amending CFTC Rule 4.22(g)(2) in order to provide an exemption from the audit requirement that is applicable to the Annual Report for a pool's first fiscal year, in cases in which the period from formation of the pool to the end of its first fiscal year is relatively short. See generally Federal Register: CFTC Proposes Amendments to CPO Annual Report Requirements.
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