03-26-2004, 03:46 PM
As per the code of carporate governance issued by SECP it is now mandatory for listed companies to appoint auditors with satisfactory QCR ratings.
Previously what was going on was that everytime ICAP requested a firm to get its files reviwed the firm would reply that the client has refused to disclose information to ICAP. Now in the case of listed Companies they can not do that as they will cease to remain auditor if they do not hold a satisfactory ratings.
In view of the above background shouldnt ICAP restrict its QCR to following two casses
1. Auditors of listed Companies
2. On specific request of an auditor who intends to either audit a listed company in future or wants satisfactory ratings to improve his image
As otherwise all other auditors who do not audit listed companies will continue to produce refusal from thier clients as regard provision of information. What do you think about it
Irfan
Previously what was going on was that everytime ICAP requested a firm to get its files reviwed the firm would reply that the client has refused to disclose information to ICAP. Now in the case of listed Companies they can not do that as they will cease to remain auditor if they do not hold a satisfactory ratings.
In view of the above background shouldnt ICAP restrict its QCR to following two casses
1. Auditors of listed Companies
2. On specific request of an auditor who intends to either audit a listed company in future or wants satisfactory ratings to improve his image
As otherwise all other auditors who do not audit listed companies will continue to produce refusal from thier clients as regard provision of information. What do you think about it
Irfan