The EU Commission has announced to work on an audit reform in the aftermath of the Wirecard scandal.
" Wirecard has clearly illustrated what can happen if the three lines of defense – Internal Control System, good corporate governance incl. a strong Supervisory Board and the external audit fail to perform. This is a major issue if you look at the amount of money – 20bn EUR – lost for investors..." said Christiane Hölz, a DSW representative and a German member of BETTER FINANCE in her speech for "The Case for Radical Reform of the Audit Profession" conference hosted by Transparency Task Force last week. The Transparency Task Force is the collaborative, campaigning community, dedicated to driving up the levels of transparency in financial services, right around the world.
A consultation regarding this topic is expected to be launched later this year. Christiane Hölz and other speakers of the event presented a number of good ideas from their research work "Reforming the Audit Industry" that are relevant for future audit reform.
Christiane Hölz's presentation can be accessed here
Read the "Reforming the Audit Industry" research here