The Requirements of the Quality Control of the Financial Audit Activity in the Context of the Current National and European Regulations

Author:Urania MOLDOVANU

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Keywords:monitoring, inspections, errors, professional standards, audit engagements

Abstract:
The quality control of the financial audit activity is one of the fundamental requirements promoted throughout the national law regulating the profession, and, more recently throughout the Emergency Ordinance no. 90/2008 on “The financial audit of individual financial statements and consolidated financial statements”, transposing the EU Directive 43/2006 in the national legal framework. In the context of the international events, the credit crisis affecting our economy, the expectations of the public interest regarding the audit profession are not only legitimate but absolutely necessary in an investment market, which suffers because of the credit crisis.\r\nThis material represents a synthesis of the researches undertaken during the inspections and implied the analysis of the annual reports of the department issued between 2006 – 2008, the analysis of the data base records regarding the results of the inspections performed during this period, the inspection notes of the auditors which failed to perform an audit according with ISAs, an overview of the disciplinary files made by the DMCP inspectors as a result of investigating certain aspects of the financial auditors performance drawn to our attention by the State authorities or other State’s agency and in some circumstances by the audit clients. In this regard, some examples are provided.\r\n

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