1. Regulation- an Irish Perspective Presented by Heather Briers Director Professional Standards Institute of Chartered Accountants in Ireland

2. Regulation- an Irish Perspective Influences/Drivers The Irish Regulatory Framework The Role of the Professional Bodies Challenges- the Institute Challenges- the members

3. Influences/Drivers: Europe The 8 th Directive Auditor Independence Quality Assurance European ISA’s Third country registration Register of auditors Other Legislation: Money Laundering Directives; Investment Directives

4. Influences/Drivers: the UK POBA and the AIU APB - and ethics ASB AIDB

5. Influences/Drivers: the USA Registration of Irish Firms Recognition of the equivalence of the Irish regulatory framework Impact of scandals etc on the development of standards

6. Irish Regulatory Framework Three tier approach: –Government- sets the law –IAASA- the oversight body –The Professional bodies- the regulators New legislation Companies (Auditing and Accounting) Act, 2003-to be commenced

7. Functions of IAASA To supervise how the RAB’s regulate and monitor To promote adherence to high professional standards To monitor the accounts of certain classes of companies To act as a specialist source of advise to the Minister

8. Powers and Responsibilities of IAASA Agree constitution and bye-laws Supervise the RAB’s monitoring Supervise the investigation and disciplinary regimes To undertake investigations into possible breaches by members To co-operate with the RAB’s and others in the development of auditing and accounting standards

9. Role of the Professional Bodies Responsible for all aspects licensing Responsible for monitoring Responsible for investigation and discipline- Except! Responsible for developing rules and regulations for IAASA approval To work with IAASA and others in developing audit accounting and standards on independence.

10. Regulation and the Institute ‘ Standard’ setting- Rules of Professional Conduct Licensing- PC, audit, IB, Insolvency Monitoring: –Quality Review Regulations –Apply to all PC holders –Risk based and cyclical visits (2-10 years) Discipline- investigation of complaints

11. Challenges-The Institute Balancing Regulatory and Representational Role Ensuring fair and proportional regulation –The new oversight structure in Ireland and the UK –Agreeing a position with the PCAOB Ensuring recognition of public interest responsibilities- introducing the new independent Board Ensuring highest standards of compliance of members firms and the Institute: –Education –Monitoring

12. Challenges – the members The (numerous) new standards- audit, accounting and ethics The new visit approach- credibility review approach Moving to an output method in CPD Coping with the new enforcement bodies in Ireland – eg the ODCE Money laundering reporting Greater complaint and blame culture