CSA seeks comment on potential oversight requirements for foreign audit firms
Apr 25, 2017
On April 25, 2017, the Canadian Securities Administrators (CSA) published for comment CSA Consultation Paper 52-403 "Auditor Oversight Issues in Foreign Jurisdictions" (Consultation Paper), which seeks input on whether certain oversight requirements should be introduced for audits done by foreign firms.
The Consultation Paper discusses challenges faced by the Canadian Public Accountability Board (CPAB) in accessing audit work performed in certain foreign jurisdictions. The Consultation Paper describes a CPAB request for the CSA to amend National Instrument 52-108 Auditor Oversight to require certain audit firms involved in the audit of a reporting issuer’s financial statements to register as a participating audit firm. This requested amendment would assist CPAB in accessing audit working papers in most foreign jurisdictions.
CSA staff is also considering potential disclosure enhancements to provide stakeholders with information about situations where CPAB has been prevented from inspecting audit work performed.
Comments should be submitted in writing by June 24, 2017.
Review the press release and the Consultation Paper on the CSA's website.