SC: Audit board requirements gain Europe recognition

PETALING JAYA: The Audit Oversight Board’s (AOB) requirements have been recognised by the European Commission as comparable to that complied by its European Union counterparts.
The requirements are for the purpose of transferring audit working papers and other related documents of inspection and investigation.
Securities Commission Malaysia (SC) said this will facilitate effective cooperation and mutual reliance on each other’s oversight systems.
“This recognition underscores the European Commission’s earlier acknowledgment that Malaysia’s audit framework is at par with international best practices, with its rules pertaining to public oversight, quality assurance, investigation and penalty systems for auditors and audit equivalent to that of its European counterparts,” SC said in a statement yesterday.
It said the recognition, will enable AOB to establish bilateral agreements with audit oversight authorities of European Union member states, deepen working relationships and contribute to the shared vision of the AOB and European Union audit oversight regulators in enhancing audit quality.
The assessment was carried out by the European Commission with the assistance of the European Group of Auditors’ Oversight Bodies.
Established in 2010 by SC, AOB oversees the auditors of public interest entities (PIEs) and schedule funds, protect investors’ interest and promote confidence in the quality and reliability of the audited financial statements of PIEs and schedule funds.