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BSEC panel to have names of both audit firms, auditors

FE Report | Published: October 18, 2019 10:34:42 | Updated: October 21, 2019 10:49:19


The securities regulator on Thursday decided to include the names of the auditors along with their firms in its auditors' panel to ensure more accountability of the firms that check financial reports of the listed companies.

The Bangladesh Securities and Exchange Commission (BSEC) took the decision at a meeting held at the BSEC office.

As per existing system, only the audit firms which are enlisted in the auditors' panel of the BSEC can audit financial statements of the listed companies and the non-listed ones which submitted IPO proposals.

Presently, the panel has only a list of the audit firms without the names of auditors conducting the auditing function.

As per Thursday's decision, no practising chartered accountant will be eligible for auditing job unless their names are included in the BSEC's auditors' panel.

The securities regulator reviews this panel from time to time.

Contacted, a senior BSEC official said they have taken the decision as they found some mismatches and wrongdoings following changes in the partners of the audit firms.

"In some cases, partners are changed in the audit firms. But the securities regulator is not informed of those changes," he said.

The audit firms lose eligibility for audit jobs if any of their partners leaves the firm, he added.

He also said partners of the audit firms can be changed anytime.

"But the newcomers must be included in the BSEC panel for the sake of accountability," the official added.

Presently, there are 39 audit firms listed in the panel of the securities regulator.

The BSEC will revise the panel soon to include the names of the auditors.

mufazzal.fe@gmail.com

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