The following section provides an overview of the primary responsibilities and duties of auditors and/or accountants under the Companies Acts under secondary legislation and related case law. For further details, please see the ODCE Information Notices below.
Duty to Provide an Audit Report
The principal duty of the auditors to a company is to report to the members of the company on the financial statements examined by them. The auditors' report must be read at the AGM and should be made available to every member of the company. Section 336 of the Companies Act, 2014.
Duty to Report Failure to Keep Adequate Accounting Records
If, at any time, the statutory auditors form the opinion that the company being audited is contravening, or has contravened, any of section 281 to 285 of the Companies Act 2014 (accounting records), they are obliged to serve a notice on the company informing it of that opinion. If the necessary steps are not taken by the directors to remedy the infringement within seven days, the auditors are required to notify this to the Registrar of Companies, who will in turn notify the Director of Corporate Enforcement.
Section 392 of the Companies Act, 2014.
Duty to Report to the Registrar and Director - Category 1 and 2 Offences
Where in the course of, and by virtue of, their carrying out an audit of the financial statements of a company, information comes into the possession of the statutory auditors that leads them to form the opinion that there are reasonable grounds for believing that the company or an officer or agent of it has committed a category 1 or 2 offence, the statutory auditors must notify that opinion to the Director of Corporate Enforcement and provide the Director with particulars of the grounds on which they have formed that opinion. In addition to performing their obligation of notifying the Director of their opinion, the statutory auditor, if requested by the Director, will furnish the Director with such further information in their possession or control relating to the matter and give the Director such access to books and documents in their possession or control relating to the matter. Section 393 Companies Act, 2014.