CA. Final
455 Points
Joined October 2007
not at all. The outgoing Auditor Can't be expected to conceal such information. it is evident from the legal requirement that ,
The Incoming auditor is required (Under Schedule 1, Part !, Clause 8) of the CA Regulation Act to ask the outgoing auditor of Any Reasons why not to take up the audit. It is therefore the duty of the outgoing auditor to inform the new auditor about any significant area of concern.
This position is also specifically excluded from the auditor's duty of confidentiallity as imposed by AAS 1