Internal Control Disclosure and Corporate Governance: Empirical Research from Chinese Listed Companies

The aim of this paper is to research the influence of corporate governance structure on internal control disclosure in a sample of 1309 Chinese listed nonfinancial companies in 2010. We discover that internal control disclosure is positively related to directors’ remuneration, two part-time posts of chairman and general manager, directors’ education level and supervisors’ education level, and it negatively related to the proportion of state ownership. Internal control disclosure is not significantly related to the degree of ownership concentration, board size, the proportion of independent directors and the size of board of supervisors.