External Auditors and Corporate Governance under the Impact of Financial Crisis

Author:Univ. Prof. Laurenţiu DOBROŢEANU, Ph. D., Lecturer Nicoleta COMAN, Ph.D., Associate Prof. Camelia Liliana DOBROŢEANU, Ph.D.

JEL:M42, K22, G01, G34

DOI:

Keywords:financial crisis, audit report, audit committee, transparency, expectations, audit, governance

Abstract:
Since the current global financial crisis shuttered, the corporate governance and external audit have been brought again under the public criticisms, resuscitating suspicions and questionings on their ability to actively prevent major shocks. On these grounds, the paper investigates retrospectively the professional behaviour of external auditors and corporate governance structures – namely, audit committees – in relation with their responsibilities for providing information transparency within audit and governance reports. The most important finding of our research is that, actually, both auditors and audit committees have complied with relevant transparency requirements imposed by regulations. Moreover, the research results show that auditors have completely met the governance and shareholders expectations, pulling down the allegations on audit expectations gap generated by information presented in the audit report. \r\n\r\n

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