CMA suspends eight audit companies

The Capital Market Authority (CMA) has issued a number of decisions suspending a total of audit firms from auditing the accounts of the companies regulated by CMA for a period of three months, during which the sanctioned firms are rectify their situations and comply with the legal requirements.

The firms were found to have violated the Second Paragraph of the First Article of Decision No 8/2018 on the Rules for Accreditation of Auditors, which stipulates that ‘‘Auditors accredited by CMA must renew their accreditation during a period not exceeding six (6) months from the date this regulation having effect’’. The suspended firms are: Ibn Hayyan Chartered Accountants, HC Shah Chartered Accountants, Maganlal Thacker & Co, Baker Tilly MKM Oman, Talal Abu Ghazaleh & Co, Mazaz Chartered Accountants & Co, Regional Audit Firm Chartered Accountants and Maqbool Hussain Mosa Accounts Auditors.

“The CMA had issued the rules regulating the business of audit firm to ensure they strict comply with IAS and IFRC requirements. The Authority continuously assesses the performance of audit firm by its audit teams for their important role in auditing the financial reports and quarterly statements announced through MSM to ensure their accuracy and impartiality and that they truly represent the positions of the companies, and to detect any manipulation or fraud practices to protect the investors and to provide adequate information for sound investment decisions,” the regulator said in a press statement.