THOSE preparing reports with financial information for organisations such as banks, unit trust schemes or corporations listed on the stock exchange will come under scrutiny of the Securities Commission’s Audit Oversight Board.
This was among the changes proposed in the Securities Commission Malaysia (Amendment) Bill 2017 which was tabled for first reading in the Dewan Rakyat.
The Bill specifically refers to “public interest entities and schedule funds”, which include public-listed companies, licensed banks, insurers, takaful operators and approved unit trust and private retirement schemes.
The Bill, which was tabled by Deputy Finance Minister Datuk Othman Aziz, also seeks to amend provisions for the composition of the board, which supervises the audit industry.
Under the Bill, no member of the board shall be an approved company auditor under the Companies Act or employed by a firm providing services to the above entities or their affiliates.
“The amendment also seeks to provide that the day-to-day administration of the board will be the responsibility of the executive officer,” it said.
A subsection will be introduced, requiring a registered auditor or one recognised by the board to pay a prescribed fee on a yearly basis.
The new subsection 4(b) also provides for the Securities Commission to impose a late payment charge if the auditor fails to pay the annual fee within a stipulated time.
Failure to pay the fee or charges imposed may see the auditor’s registration revoked and his recognition withdrawn or suspended.
Also tabled for first reading was the Armed Forces Fund Bill which seeks to provide annuities to personnel with less than 20 years service.
This was accompanied by the Malaysian Aviation Commission (Amendment) Bill to allow for the collection of a passenger charge.
It seeks “to ensure that the Commission will have sufficient financial resources to protect the rights and interests of consumers”, and for the development of the local aviation industry.