Practice Review
SOCAM as a member of the International Federation of Accountants (IFAC) is obliged to follow IFAC’s Statements of Membership Obligations (SMOs). SMO 1 Audit Quality Assurance Review requires member bodies to monitor and review the quality of audit and assurance services by its practicing members in accordance with ISQC 1 and ISA 220. For some years SOCAM contracted the practice reviews to the Independent Regulatory Body of Auditors (IRBA) of South Africa. With effect from 1 January 2008 Audit Quality Assurance Reviews will be offered by the Association of Certified Chartered Accountants (ACCA) following the signing of a Practice Review Contract with SOCAM.
Audit quality reviews are conducted in three year cycles. If a practitioner fails to comply with the recommended audit standards, he/she may be subject to a re-review within one year. Failure to meet the requirements of ISQC 1 may lead to disciplinary action being taken on the practitioner.
The Practice Review Committee of SOCAM considers all the findings from the reviews on an anonymous basis to determine course of action against a practitioner.
SOCAM is given specific powers and duties under the Public Accountants and Auditors Act (Laws of Malawi Chapter 53:06).
The Act provides the functions of the Society as to....
