Auditor's Roles and Responsibilities
It is an established rule that the auditors are to play a vigilant and objective role in ensuring that the shareholders’ interests are well protected and that the management of the company have acted within reason. It is the shareholders who primarily depend on the good faith and efficiency of the company’s auditor to ensure that company’s actions in the day-to-day operations are verified.
Due to the importance and increasing responsibilities placed on auditors, the recommendations contained in this Consultative Document covers issues pertaining to the rights and duties of the auditors, the appointment, removal, and resignation etc. Some examples of issues discussed in this Consultative Document are on the mandatory audit rotation and whether there is a need to codify the current self-regulatory approach on mandatory audit. In addition, the Consultative Document also touches on the steps to be taken by the auditor to effect his resignation and also the establishment of an independent Auditing Oversight Body.
We hope to receive views and comments on the recommendations stated in this Consultative Document. Please reply to Nor Azimah Abdul Aziz at the Companies Commission of Malaysia (SSM) by 21 January 2008 .
Download the above consultative document here (.pdf)