Vol. 422 No. 5
67 Mr. Rabbitte asked the Minister for Industry and Commerce his views on whether the legislative powers available for the supervision of the operation of chartered accountants are adequate; if he intends to introduce any new procedures; and if he will make a statement on the matter.
The general supervision of the accountancy profession, including chartered accountants, is not provided for in legislation; rather the approach has been to permit self-regulation and this is effected by the different accountancy bodies of which individual accountants are members.
The Companies Acts provide a framework for the supervision of accountants, including chartered accountants, in the area of statutory audit of accounting documents, but here too, as a matter of policy, actual supervision of the activities of practitioner is entrusted to the accountancy bodies.
In so far as audit supervision is concerned, Deputies will be aware that Part X of the Companies Act, 1990 enhances my powers to require adherence to the highest of standards. In this context, I believe that the accountancy bodies are acutely conscious of the need to satisfy me that they are performing their supervisory role effectively. My Department are at present examining submissions from the five recognised accountancy bodies with a view to establishing how they meet the requirements of section 191 of the Act.
For my part, therefore, in so far as auditing matters are concerned I do not see a need to introduce any new measures at this stage. However, I will not hesitate to introduce new measures as appropriate in the future if I feel that the bodies concerned are not exercising sufficient disciplinary control.
