Introduction to Peer Review

expectations from the auditing profession have increased significantly growing demands for high quality assurance, consistency and greater transparency in the reviewing function Indian & Audit & Accounts Department, in its endeavour to meet these demands has introduced 'peer review'

the objective of not only providing guidance to its members for enhancing the quality of “Peer Review” performed reinforcing the credibility by adhering strictly to professional approach towards accounting and auditing standards and best practices in the eyes of the society

THE HISTORICAL PERSPECTIVE The concept of "peer review" came into existence in the United States during mid- seventies U.S. government peer review policies The INDIAN AUDIT & ACCOUNTS prospect

Definitions: What is Peer Review? The term “ peer” means a person of similar standing. The term “review” means conduct of re-examination or retrospective evaluation of the subject matter Generally therefore the term “ Peer Review” would mean review of work done by a person of similar standing. For a peer, therefore, to be eligible for carrying review

the three necessary requirements are: (i) Independence (ii) Credibility (iii) Competence Peer review is a process that includes independent assessment of the subject matter by panels of experts

NEED FOR PEER REVIEW Peer Review is a self-regulatory mechanism. It needs no reiteration that the peer review process is an excellent tool of self-regulation with the basic objective of enhancing the audit quality. he main objective of peer review is to enhance the quality of the work with reference to efficiency effectiveness of the reviewee by adhering auditing and accounting standards and best practices

SCOPE AND FOCUS OF PEER REVIEW Duties of Indian Audit and Accounts Department The mandate of CAG

In the case of an Audit Office, the following aspects will be reviewed 1. - Performance Measures, Effectiveness, General Quality Control and General Management Practices 2. - Financial Statement Audits 3. - Performance Audits/ Reviews 4. - Transaction Audits and application of VLC system in auditing services

In the case of an Accounts office, the following aspects will be reviewed: – - Performance Measures, Effectiveness, General Quality Control and General Management Practices – - Accounts, GPF and Pension Wings. – - Application of VLC system in accounting services.

OBJECTIVES Idea of Peer Review will be to ensure that as a legislative audit office, we maintain our credibility by adhering strictly to professional accounting and auditing standards and best practices. ATTRIBUTES – Independence of Peer Review