Memorandum of understanding between the FRC and the FAOA of Switzerland regarding audit supervision
07 Apr, 2014
The Financial Reporting Council (FRC) and Federal Audit Oversight Authority (FAOA) of Switzerland have entered into a memorandum of understanding (MoU) in relation to the regulation and supervision of audit firms.
The MoU seeks to formalise the principles for cooperation and coordination between the two organisations in the areas of public oversight, registration, inspections and investigations of auditors of companies that are subject to the regulatory jurisdictions of both parties.
The FRC comment that “given the global nature of capital markets, it is the common interest of both parties to cooperate in the oversight of auditors”. Cross border regulation and oversight under the MoU will help to improve the quality, accuracy and reliability of the audit of public companies and will “avoid the undue burden of overlapping supervision”.
The press release and MoU can be obtained from the FRC website.
