IRBA: Plans to Issue New Rules

IRBA: Plans to Issue New Rules

• 16 August 2023
• Accounting
• South African Accounting Academy

IRBA wants to give transparency to investors to see if you have an independent auditor doing all sorts of other work, those are alarm bells going off.

One of IRBA’s ambitious projects is to plug gaps in the broader ecosystem. Gaps under consideration include the regulation of registered accounting bodies, an idea that polled well during a recent IRBA stakeholder event. 

“There’s another solution. You get CEOs and CFOs that will resign as CAs, then they're not accountable. What I'm hearing [from stakeholders] is that it's one thing to regulate accountants, but we need to actually professionalise key positions.” 

IRBA’s CEO knows much of this work is outside of IRBA’s traditional ambit. But his view is that if the garden is a fire hazard, it doesn’t help if he only focuses on his patch. 

Other ideas include a legally backed and regulated corporate governance code and increasing collaboration with other bodies. Nagy says this is already happening and says they’re working hand in glove with the Auditor General.  

Will these measures, and those already implemented prevent future audit failures and restore confidence in the profession? Are these fruits not only edible but fortifying against future sickness? 

Time will tell. However, unlike other bodies blighted by State Capture, IRBA can point to solid examples of how it’s straining to react, reform and reinforce.

Click here to access more information:

https://www.accountingweekly.com/audit-accounting/exclusive-irba-ceo-on-new-fines-future-of-mafr-and-comprehensive-regulation

Relevance to Auditors, Independent Reviewers & Accountants:

• Members of IRBA should stay up-to-date with the latest developments and plans that affect registered auditors.

• This news item will definitely impact auditors in future – once issued.

Relevance to Your Clients:

• None

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