Discussion papers issued for Canadian audit quality consultation

Canadian Institute of Chartered Accountants

TORONTO, Sept. 27, 2012 /CNW/ - Canadians are invited to comment on two discussion papers focusing on international deliberations that could affect a wide variety of stakeholders in Canada.

The Canadian Public Accountability Board (CPAB) and the Canadian Institute of Chartered Accountants (CICA) launched the Enhancing Audit Quality (EAQ) consultation initiative to gain broad Canadian stakeholder input on international audit proposals.

"Canadians need to pay attention to the international discussions because they have the potential to affect the sound financial system we worked so hard to build," explains David Brown, chair of the EAQ Steering Group.  "With globalization, something that has an impact in one market will likely be felt elsewhere."

Regulators, policy makers, and standard setters in Europe, the United States and other jurisdictions are considering changes to improve confidence in the financial system.  Audit quality is among the topics under review.

Brown, a Canadian lawyer and former chair of the Ontario Securities Commission, heads the independent steering group overseeing the EAQ consultation process.  The steering body, made up of senior financial leaders, provides direction to three working groups focusing on:

• The role of the audit committee
• Auditor reporting
• Auditor independence

Discussion papers on auditor reporting and auditor independence were recently issued and are available for comment. A third paper focusing on the role of audit committees will be published later this year.

"It is our hope that Canadians with a stake in our sound financial system take the time to understand the issues and provide their perspectives," says Brown.  "Canada must have a voice in the international discussions.  We need input from more than our working groups if Canada's views are to be accurately captured and to resonate internationally."

Final reports reflecting the results of the consultation process will be produced and made public with the EAQ initiative expected to be completed in 2013.

More information about the consultation process can be found online at www.cica.ca/enhancingauditquality

The Canadian Public Accountability Board (CPAB) is Canada's audit regulator, dedicated to protecting the investing public's interests. CPAB regulates the auditors of Canadian public companies through its national inspection program. CPAB's risk-based inspection process focuses on key audit risks that could have the greatest impact on audit quality. By promoting high-quality, independent auditing, CPAB contributes to public confidence in the integrity of financial reporting, which supports our capital markets.

Chartered Accountants (CAs) are Canada's most valued, internationally recognized profession of leaders in senior management, advisory, financial, tax and assurance roles. Through their integrity, expertise, and internationally recognized qualification standards, Canada's 82,000 CAs sustain their influence and leadership position both in Canada and globally.  As trusted business advisors to Canadian organizations of all sizes, Canada's CAs foster confidence in Canadian business and contribute to the health and sustainability of Canada's capital markets and economy.  The Canadian Institute of Chartered Accountants (CICA) represents Canada's CA profession both nationally and internationally.  The CICA is a founding member of the International Federation of Accountants (IFAC) and the Global Accounting Alliance (GAA).

Image with caption: "The Canadian Public Accountability Board and the Canadian Institute of Chartered Accountants have launched the Enhancing Audit Quality initiative. Perspectives gained through consultation will provide a clearer picture of Canadian stakeholder views on international audit reform proposals. (CNW Group/Canadian Institute of Chartered Accountants) (CNW Group/Canadian Institute of Chartered Accountants)". Image available at: http://photos.newswire.ca/images/download/20120927_C2295_PHOTO_EN_18584.jpg

SOURCE: Canadian Institute of Chartered Accountants

or to arrange an interview, contact:

Tobin Lambie, Manager, Media, CICA
[phone]
[email protected]
www.cica.ca 

Rachel Dao, Manager
CPAB
[phone]
[email protected]
www.cpab-ccrc.ca