Overview
The AFRC performs inspections to promote audit quality and oversee compliance with anti-money laundering and counter-terrorist financing regulations.
Under the Accounting and Financial Reporting Council Ordinance (AFRCO), the AFRC has the power to direct an inspector to carry out an inspection in relation to:
- PIE engagements completed by a PIE auditor
- A practice unit
For an understanding of the legal framework under the AFRCO and the inspection function of the AFRC, please refer to the details set out in the following policy statements:
- Policy Statement for Inspection of PIE Auditors with respect to PIE Engagements
- Policy Statement for Inspection of Practice Units with respect to engagements other than PIE Engagements
- Policy Statement for Inspection of Practice Units with respect to compliance with Anti-Money Laundering and Counter-Terrorist Financing Requirements
- Outline of the AFRC’s Inspection Process for PIE Auditors
- Outline of the AFRC’s Inspection Process for practice units that are not PIE auditors
