SECP asks ICAP to strengthen licensing regime

ISLAMABAD: The Securities and Exchange Commission of Pakistan (SECP) has advised the Institute of Chartered Accountants of Pakistan (ICAP) to strengthen its licensing regime.

The SECP has taken action against certain chartered accountants’ firms for non-compliance with various provisions of the 1984 Companies Ordinance, IFRS, AFRS, ISAs, audit reporting and other laws, rules and regulations.

Over the last few years, significant changes have taken place in the laws governing the practicing chartered accountants and implementing those changes will not only enhance the quality of the audit and allied services provided by the chartered accountants, but also improve the credibility of the Pakistani chartered accountants throughout the world, said an SECP press release here on Monday.

The SECP’s suggestions are based on the best international practices, covering areas such as the introduction of mandatory public practice programmes, know your licensee, continued professional education, interview process and other measures that will keep the ICAP members updated on new demands of the accounting profession and equip them with the understanding of key issues that directly affect the industry.

The ICAP has been playing a crucial role in the development and maintenance of professional standards of their member firms engaged in the audit and review of financial statements of the companies registered with the SECP.

The SECP hoped that the ICAP-in line with the new developments in the industry-will optimize the licensing regime for its members.