FRC wants greater power over auditors

by Mario Christodoulou

More from this author

13 Oct 2010

  • Comments
baroness-hogg-1

The Financial Reporting Council is pushing for “a wider range of sanctions to address shortcomings in audit quality” according to its submission to a House of Lords inquiry.

“We believe the FRC should have responsibility for the licensing of auditors of public interest entities – a task that should be undertaken in addition to the general licensing of auditors within the profession itself,” the FRC said in its submisnorthern-rock-signsion.

Accounting firms are regulated, to a large extent, by professional accounting bodies, which have the power to hold hearings, de-register and ban both individuals and firms from practicing audit.

The FRC only has the power to investigate cases referred on by the professional accounting bodies – ICAEW, ICAS, ACCA and CIPFA – or Houses of Parliamentcases which are in the public realm. The body’s disciplinary arm, the Accountancy and Actuarial Discipline Board, has in the past tried to convince the accounting bodies to allow it to begin its own independent investigations, but has so far failed to garner a consensus.

Further reading:

" Unrealistic" for Northern Rock auditor to have raised alarm

Visitor comments

blog comments powered by Disqus
display:none

Add your comment

We won't publish your address


By submitting a comment you agree to abide by our Terms & Conditions

Your comment will be moderated before publication

Submit
  • Send
HM Revenue & Customs

Head Of Financial Control

HM Revenue & Customs, Telford, Full Time, Permanent/p>

 

Newsletters

Get the latest financial news sent directly to your inbox

  • Best Practice
  • Business
  • Daily Newsletter
  • Essentials

Careers

Search for jobs
Click to search our database of all the latest accountancy roles

Create a profile
Click to set up your profile and let the best recruiters find you

Jobs by email
Sign up to receive regular updates with the latest roles suitable for you

Briefings

budget-management

Why budgeting fails: One management system is not enough

If budgeting is to have any value at all, it needs a radical overhaul. In today's dynamic marketplace, budgeting can no longer serve as a company's only management system; it must integrate with and support dedicated strategy management systems, process improvement systems, and the like. In this paper, Professor Peter Horvath and Dr Ralf Sauter present what's wrong with the current approach to budgeting and how to fix it.

cchcover

iXBRL: Taking stock. Looking forward

In this white paper CCH provide checklists to help accountants and finance professionals both in practice and in business examine these issues and make plans. Also includes a case study of a large commercial organisation working through the first year of mandatory iXBRL filing.