Illegal acts, Auditing

Assignment Help:

ILLEGAL ACTS

Auditors may uncover criminal offences committed by a client or an employee of the client. This puts them in a difficult place, though the auditor must act carefully and correctly and if necessary, take legal advice.  The auditor should not commit a criminal offence himself. It is sensed that he would have committed an illegal offence if:

  • He advises his client to commit a criminal offence;
  • Aids the client in devising or examining a crime;
  • If he agrees with a client to conceal or destroy evidence or mislead the police with false statements;
  • If he knows that his client has committed an arrest able offence and tries to impede his arrest and prosecution. Impede does not include refusing to answer questions or refusing to produce documents without the client's consent;
  • If he knows that his client has committed an offence and agreed to accept consideration to withhold information;
  • If he knows that the client has committed treason and fails to report the offence to the proper authority.

 


Related Discussions:- Illegal acts

Amortization and impairment, Amortization and Impairment Amortization...

Amortization and Impairment Amortization - capitalized costs would be amortized to reflect the pattern whether the related economic benefits are identified. Once commercial

Action if management refuses to provide representations, Action if Manageme...

Action if Management Refuses to provide Representations Whether management rejects to provide a representation which the auditor considers compulsory, this constitutes a scope

Auditors procedures before stock taking, Auditors Procedures Before Stock T...

Auditors Procedures Before Stock Taking 1) Study of the clients stock taking recommendations and instructions for improvements or changes whether the auditor considers them in

Indications of inapplicability of going concern, Indications of inapplicabi...

Indications of inapplicability of Going Concern Unfortunately, Insolvency is a development industry as the economy suffers a down turn and consequently for a majority of enter

Existence - detailed audit of stock, Existence - Detailed Audit of Stock ...

Existence - Detailed Audit of Stock In the previous the auditor accepted a director's certificate as to the existence of stocks.  Until some cases specifically in the United S

Types of audits, Types of audits So far we have tended to think in term...

Types of audits So far we have tended to think in terms of the audit of limited companies, and indeed, the emphasis throughout this text will be on such companies incorporated

Case study and report, Assessment item 2 Case Study and Report Due date: 19...

Assessment item 2 Case Study and Report Due date: 19-08-2016 Length: 2000 words Task Question 1 (5%) Case: Battersby and Associates Chartered Accountants is a successful mid-t

.audits, distinguish between early audits and modern audits

distinguish between early audits and modern audits

Long-term liabilities, Long-Term Liabilities Long-term liabilities are...

Long-Term Liabilities Long-term liabilities are generally evidenced through an agreement called a debenture. For this purpose, long-term loans are often called debentures. The

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd