Statutory audit is a legally required review of the accuracy of a company's financial recordsby following auditing standards generally accepted in the country and obtain an understanding of the entity’s internal control by obtaining audit evidence through examination and inspection of books and stock, inquiry, observation, confirmations, analytical and other procedures.
Our auditors with industry experience examine and determine whether an organization is providing a fair and accurate representation of its financial position.
UAE Federal Law No 2 of 2015 (Article 102 of the Commercial Companies Law 2015) stipulates that that a Limited Liability Company shall have one or more auditors to be elected by the General Assembly of the partners every year and, other than as provided by Article (244) of this Law, the provisions concerning the auditors in public joint stock companies shall apply to the auditor of a Limited Liability Company. Article 246 Duties of the Joint Stock Company Auditors stipulates that the auditor shall audit the accounts of the company, inspect the balance sheet and the profit and loss account, review the transactions of the company with the related parties and ensure the application of the provisions of this Law and the Articles of Association of the company. The auditor shall provide a report on the result of such inspection to the General Assembly and dispatch a copy of the report to the Authority.
Upon preparing his report, the auditor shall confirm the following:
A. The extent of validity of the accounting records kept by the company.
B. The extent of agreement between the records of the company and the accounting records.
C. The auditor shall review all the records, papers and other documents of the company. The auditor mayrequire such explanations as the auditor may deem necessary to perform his duties. The auditor may alsoverify the assets, rights and obligations of the company.
D. If no facilities are provided to the auditor to perform his duties, the auditor shall state this in his report to the Board of Directors. If the Board of Directors fails to facilitate the task of the auditor, the auditor shall send a copy of the report to the Authority.
E. The subsidiary and its auditor shall provide such information and explanations as demanded by the auditor of the holding company for the purposes of audit.
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