Illegal acts, Auditing

Assignment Help:

ILLEGAL ACTS

Auditors may uncover criminal offences committed by a client or an employee of the client. This puts them in a difficult place, though the auditor must act carefully and correctly and if necessary, take legal advice.  The auditor should not commit a criminal offence himself. It is sensed that he would have committed an illegal offence if:

  • He advises his client to commit a criminal offence;
  • Aids the client in devising or examining a crime;
  • If he agrees with a client to conceal or destroy evidence or mislead the police with false statements;
  • If he knows that his client has committed an arrest able offence and tries to impede his arrest and prosecution. Impede does not include refusing to answer questions or refusing to produce documents without the client's consent;
  • If he knows that his client has committed an offence and agreed to accept consideration to withhold information;
  • If he knows that the client has committed treason and fails to report the offence to the proper authority.

 


Related Discussions:- Illegal acts

Auding , What are the are the advantages and disadvantages of auditing an I...

What are the are the advantages and disadvantages of auditing an IT firm

Auditing case study, Fortex Limited, the meat processing firm, was formed i...

Fortex Limited, the meat processing firm, was formed in 1985 from three smaller companies. In 1993, however, after a few years of spectacular growth, the company collapsed. a)

Related party transactions, Related Party Transactions Related party t...

Related Party Transactions Related party transactions-a transfer of obligations or resources among related parties, regardless of whereas a price is charged. A party is rel

Audit Procedures - Intangible Assets, Audit Procedures - Intangible Assets ...

Audit Procedures - Intangible Assets The auditor's process as far as goodwill is relating would involve as: a) Vouching for details as per the buy agreement of the values

Verification work - audit process, Verification Work - Audit Process A...

Verification Work - Audit Process At the same time the audit process will need verification work as an example: examination of costing records, allocation and verification of

Final review of the financial statements, Final Review of the Financial Sta...

Final Review of the Financial Statements The work we have considered so far has shown which the auditor first gathers facts that the enterprise and the environment it operates

Questionable payments, Questionable Payments In some countries, busines...

Questionable Payments In some countries, business is often gained by bribing ministers or public officials or officers of companies or firms with whom one wishes to do business

Summary of ias 2, Summary of IAS 2 Inventories are measured at the low...

Summary of IAS 2 Inventories are measured at the lower of cost and net realizable value. Entire realizable price is the calculated selling price in the regular course of busin

Verification, discuss the verification procedure of current assets and long...

discuss the verification procedure of current assets and long term liabilties

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd