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

Managements interest in the accounting system, Managements interest in the ...

Managements interest in the accounting system Management needs complete and accurate books of accounts because: There is no other way the business can be controlled; Rec

Memo.2, Ask question #Mini mum 100 words acMr. Howe, a Junior Partner of th...

Ask question #Mini mum 100 words acMr. Howe, a Junior Partner of the CPA firm Dewey, Cheatem, & Howe (DCH), after noting that there is a proposal to limit Auditor liability is ver

Recording the audit - isa 230, Recording the Audit - ISA 230 Purpose...

Recording the Audit - ISA 230 Purpose of working papers It is necessary which all audit work is documented - the working papers are the tangible evidence of the work co

Advantages of fixed assets register, Advantages of Fixed Assets Register ...

Advantages of Fixed Assets Register There are several advantages if the register properly maintained: a) There is an independent record of all fixed assets showing particul

Process to adopt liabilities, Process to Adopt Liabilities It is signi...

Process to Adopt Liabilities It is significant that the auditor realises which such liabilities can exist and he should obtain reasonable steps to unearth them whether they ex

Banks features, Banks Features (a) Profit and loss account: When l...

Banks Features (a) Profit and loss account: When looking at a bank's profit and loss account the accountant should seek to discover what proportions of the bank's profits

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

Valuation - Detailed Audit of Stock IAS 2 prescribes such stock be priced at the lower of price and net realizable price, It is up to the auditor to ensure that net realizable

Auditing, YvesLaurent has just been put in charge of the BeautyNatural Inc....

YvesLaurent has just been put in charge of the BeautyNatural Inc. audit.BeautyNatural is a small, but growing retail chain of natural cosmetics stores. BeautyNatural needs to borro

When does an audit trail start, Question: Explain the type of audit con...

Question: Explain the type of audit conducted by the sponsor when he suspects or comes to know that the site will be audited by FDA. A Mention type of audit conducted by the

How can scope of internal audit help you, Internal audit is an independent ...

Internal audit is an independent assessment function which is recognized by the management of an company for the review of its internal control system as a service to the company.

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