Risk & Compliance

Special Feature (Part 1): Wrangling risk in Covid-19 and beyond

In order for businesses to survive the Covid-19 storm, companies have to be ‘risk intelligent’.

CFO Community Conversation: Ethical leadership is more than just a lip service

Claudelle von Eck: When it comes to ethics, leaders need to put their money where their mouth is.

SAICA CEO Freeman Nomvalo calls on professionals to help improve regulatory system

"If you come forward and help us, you are helping the system work," Freeman said.

Investment firm CFO Zaitoon Shaik charged with fraud, corruption and money laundering

Shaik and three associates allegedly defrauded the Coastal KZN TVET College of R30 million.

EOH management's turnaround efforts pay off as JSE suspends part of R7.5 million fine

Group CFO Megan Pydigadu says the EOH management team remains committed to transparency.

Covid-19 is keeping tax managers on their toes

Covid-19 shockwaves force leaders to rethink how tax risks are managed and tax practices are run.

CFO Francois Schindehütte: If you deliver your best, the results will look after themselves

Growthpoint Properties wins IAS Excellence in Financial Reporting and Communications Award 2019.

CFO Community Conversation tackles post Covid-19 risk strategy

This week's conversation explored how companies' risk strategies have evolved as a result of the pandemic.

FSCA says national lockdown can't be used as grounds to reject insurance claims

The Financial Sector Conduct Authority plans to take action against insurers who are non-compliant.

CFO Rui Morais says Dis-Chem disappointed with Competition Tribunal decision

This follows the Tribunal's ruling that Dis-Chem has engaged in price gouging on Covid-19 masks.

Former VBS Mutual Bank CFO Philip Truter granted bail of R50,000

Truter is the eighth person arrested and charged with 47 charges relating to the looting of VBS Bank.

Tongaat Hulett fined R7.5 million by JSE for non-compliance

Tongaat has been fined for its 2011 to 2018 financial information not complying with IFRS standards.

A third CFO arrested in connection with the VBS Mutual Bank heist

Merafong Municipality acting CFO Thys Wienekus plans to turn state witness following arrest.

The hidden cost of the Covid-19 crisis - an increase in fraud and corruption

Dr Claudelle von Eck: Interventions are cheaper than the cost of consequences of unethical culture.

New sections of the Protection of Personal Information Act to commence on 1 July 2020

Companies will have to ensure compliance with the new sections within one year of their commencement.

A quarter of JSE-listed companies have rotated audit firms, citing early adoption of MAFR

CEO Bernard Agulhas: We're proud that rotations are not limited to changing between the big four.

Two CFOs among those arrested for VBS theft

On Wednesday morning, eight men were arrested in connection with the R2.7 billion theft at VBS Mutual Bank.

Financial Sector Law Amendment Bill of 2020 among new directives passed for lockdown level 3

The government has made a number of changes to South Africa's level 3 lockdown regulations.

Karri Payments will now be supporting teachers and parents with back-to-school screening

Finance manager Dominique Nash explains how the payment app now performs quick and easy daily screenings.

Retail businesses selling illegal goods expected to pay R1,000 fine

New admission of guilt fine directives have been published for businesses breaking lockdown rules.

Businesses need to be aware of fake Covid-19 tenders

One business owner responded to a fake tender from what she thought was the Department of Health.

JSE's amended listing requirements: a burden or an opportunity?

Several corporate scandals and instances of poor governance have tarnished South Africa's reputation as an investment destination. Listed CFOs need to pay careful attention to the JSE's new listing requirements, which require enhanced accountability and transparency.

What you can do to ensure your organisations's compliance with POPIA

The President has not announced the promulgation date of POPIA, despite media claims.

JSE launches virtual AGM platform in response to Covid-19 lockdown

Alexander Forbes will be the first company to test the new platform at their next AGM.

JSE launches Sustainability Segment to drive sustainable investment and development

It enables companies to list and raise funds for sustainability linked instruments and projects.

FirstRand Group has appointed Gert Kruger as its new chief risk officer

Kruger has worked in a variety of roles in the FirstRand Group, including CRO at RMB.

Saica highlights concerns with the new CIPC Compliance Checklist

Juanita Steenekamp says that it is both "onerous and vague" and that "more guidance is required".

IFRS 9 and bank credit loss explained

Richard Crecel and Daniela Thakkar: banks must act as credit loss remains divergent under IFRS 9.

IIA SA finds 3.5 percent improvement in corporate governance and ethics

Acting CEO Charles Nel: leaders must reflect honesty, accountability, integrity, fair justice and good conduct.

IRBA outlines plans to restore confidence in the roles of auditors and the regulator

CEO Bernard Agulhas talks about IRBA's strategies to rebuild trust after a clean audit review.

City of Johannesburg breach due to too few 'deep' cybersecurity experts

Steven Sidley says SA enterprises with on-premise server rooms and data centres are sitting ducks.

Urgent changes in education needed to survive the Fourth Industrial Revolution

Clinix's Elisa Mkhize: "In five years' time, companies will need a completely different skills set."

CFOs need to work for a higher purpose to survive the public sector

Public Sector CFOs have to deal with negative public perceptions, lack of resources and corruption.

Audit watchdog warns of more laws as corporate scandals grow

IRBA's Imre Nagy says that regulators have to be tougher on finance professionals.

Finance Indaba panel hopes BEE will stimulate SMME growth

Small businesses hope the new ESD codes will help them to benefit more from BEE.

Finance Indaba hears that dated tech puts your organisation at risk

Criminals will always be smarter if the right measures are not put in place.

Finance Indaba hears unethical accounting persists, even with tech in the mix

With or without machine learning, unethical accounting practices must be stamped out, say panellists.

Finance professionals challenged to help fight corporate corruption and state capture

South Africa is in a moral crisis, and doing something about it will take courage, says Athol Williams.

Explained: The 6 steps you must take in the event of a cybersecurity failure

SNG Grant Thorton discussed how to prevent or minimise the impact of a data breach.

AI won't replace you, Cognizant's Michael Cook tells CFOs

Six big trends will shape the future of work; all include technology, especially Artificial Intelligence.

Overcome the challenges of non-payment by ensuring your customer is who they say they are

Junior Biola, EasyDebit CEO, says a real-time verification solution for customer verification is imperative.

Companies need to consider and address their global privacy compliance requirements

RSM's Thilen Pillay: "Disparities in African data protection law plus the EU's GDPR can be quite overwhelming."

Do the right things, right, says Cell C CFO Zaf Mahomed

He says that trust is built through better governance on a foundation of transparency and accountability.

21 percent of JSE-listed companies have rotated their auditors ahead of MAFR deadline

IRBA CEO Bernard Agulhas: audit committees should keep an open mind when appointing auditors.

Warn your staff: Criminals are impersonating senior executives to steal money

Sabric CEO Susan Potgieter said criminals glean information from company websites and other digital platforms.

EOH board welcomes chief risk officer Fatima Newman as executive director

Fatima has already played a meaningful role in the forensic investigation lead by ENSAfrica.

IIA SA CEO calls on audit profession to practise ethical courage

Claudelle von Eck probes the factors that have led to SA's spate of audit scandals.

Meet multiple CFO Awards winner André du Plessis, Capitec CFO

Capitec CFO André du Plessis won the Compliance & Governance and Finance & Technology Awards.

IIA SA calls for greater protection of internal auditors after SABC audit exec assassination attempt

IIA SA CEO Dr Claudelle von Eck says the grave situation has untenable consequences for the country.

Edupower Skills Academy's Rajan Naidoo explains new B-BBEE amendments

Rajan believes that the amendments will create active participants in the economy, but may come at a cost.

NHLS executives dismissed after charges of irregularities in their duties

CEO Joyce Mogale and CFO Sikhumbuzo Zulu "not fit for any senior office which involves finance".

Mr Tekkie CFO weighs in on high court interdict against Steinhoff

Robin Seabrook: "The last few months have taught me about the need to do what is right."

So you want to serve on a board? Read this first

Herman Singh speaks from personal experience when he says: "Directing is only for the brave".

Use your ESD budget to bring about real change and improve your B-BBEE scorecard

Make a difference to SA's economy and your scorecard by supporting SMEs through Black Umbrellas.

Competition Amendment Bill signed into law

The amendment bill will close loopholes that businesses have used to enrich themselves.

A solution for your year-end enterprise development woes

Struggling to decide on where and how to spend your annual enterprise development budget as your financial year-end approaches? Consider partnering with Black Umbrellas.

Pepkor fined R5 million by JSE for breaching listing requirements

JSE fines Pepkor for inadequate disclosures made during their listing and financial results in 2017.

Buffalo City Metro's CFO guilty of financial misconduct

Vincent Pillay faced financial misconduct charges for involvement in the Nelson Mandela memorial service scandal.

PSC finds appointment of Department of Public Works CFO irregular

PSC continues to investigate Cox Mokgoro's appointment and practices within the Department of Public Works.

Nhlanhla Nene says more than half of municipal CFOs not properly qualified

Finance Minister to issue regulations giving municipal CFOs 18 months to obtain relevant competency levels.

Professional bodies aim to restore credibility to SA's private and public sectors

Professional bodies unite to ensure accountability as corruption complaints against members escalate.

MTN faces new tax and regulatory woes in Nigeria

The telecommunications giant says the latest demands by the Nigerian authorities are "regrettable and disconcerting".

Steinhoff has been fined R1 million by the JSE

The fine is for Steinhoff's failure to disclose Moody's credit downgrades to shareholders.

A crisis is helpful - CFOs get energy-savvy part 2

Over exquisite food and wine at Marble restaurant, CFOs swapped notes with Deloitte leaders who were the official partners of this second dinner discussing energy efficiency.

Deloitte Africa's Rushdi Solomons on rethinking internal audit

The CFO must rely on a tech-enabled, data-enabled and business-savvy internal audit function, he says.

Do the right thing: CFO Summit discusses risk and reputation

Do the right thing. That is the best way to enhance, manage and protect the reputation of your business, said award-winning Woolworths CFO Reeza Isaacs during an incredibly powerful CFO Summit discussion in Cape Town.

SAICA tightens controls after Trillian-repayment

SAICA and its Thuthuka Bursary Fund have enhanced their donor vetting process "to avert any possible recurrence" of the situation where the fund had to return money to a company that is linked to the notorious Gupta-family.

Reputation is everything: join the CFO summit in Cape Town

Join CFOs Ronel van Dijk, Andrew McMaster and Reeza Isaacs to talk about brand reputation.

Corporate SA deserves the reputational mess it's in

It's a Shovel founder Jessica Whitcutt Yellin on why SA scores so badly in reputation rankings.

Assurance in turmoil: four positive outcomes from the Steinhoff scandal

UCT's Tim London shares what he considers four positive outcomes of the Steinhoff scandal

Steinhoff CFO Ben la Grange steps down

Ben la Grange has stepped down as Steinhoff CFO, replaced by acting CFO Philip Dieperink

Steinhoff says it will restate its 2016 financial results

Steinhoff will restate 2016 financial results and postpone release of 2017 results

BDO will be bigger and better after Grant Thornton merger

BDO South Africa will be merging with the Cape Town and Port Elizabeth offices of Grant Thornton, effective 1 March 2018.

CFOs can expect continued volatility in our markets, says CIB's Sun? Brugman

“At Standard Bank, we focus on business opportunities that help our clients grow financially and socially, in all the countries in which we operate,” says Sun? Brugman, chief risk officer for Corporate and Investment Banking (CIB) at Standard Bank. “Equally, we aim to bring new business and investment into Africa by connecting the major markets outside of Africa to the continent.”

How can you exercise corporate governance diligence and skill? Finance Indaba sneak peek 30

Corporate governance failures manifested in illicit conduct and fraud negatively affects your company's prospect of economic growth, public faith and corporate reputation. Unfortunately, all too often, deceitful and falsified business transactions are approved by boards and management simply on the basis of trust. Having spent over 25 years supporting organisations to develop corporate governance frameworks that prevent, detect and remediate (as prescribed in KING IV) illicit conduct, SNG's Peter Goss will discuss a blend of corporate governance guidance, principles and practices for boards, management, CFOs, company secretaries, and other combined assurance providers who will help you to create sustainable value and mitigate related threats. In this lively master class, you will be challenged to adopt a sceptical mindset focused on sustainable value creation and business integrity, a constructively sceptical professional demeanour, and an advanced level of due probity, due diligence and scrutiny. Learn from corporate governance failures the stark and blatant realities, enhance your professional due care and skill, and improve your corporate sustainability in this fascinating Finance Indaba Africa session.

Finance Indaba 2017: Auditor-General of SA stresses accountability in finance

"In the past year, the AGSA’s general (“state-of-nation”) reports were built around a theme of accountability and we see CFO’s, both in public and private sectors, as critical players in making sure that accountability in our country, with specific reference to public finance and performance management, is strengthened," says Jan van Schalkwyk, corporate executive at the Auditor-General of SA (AGSA), a silver partner at the Finance Indaba Africa 2017 on 12 and 13 October 2017 at the Sandton Convention Centre in Johannesburg.

Nkonki is future-ready. Are you?

Black-owned auditing firm Nkonki has always been synonymous with trailblazing. Founded in 1993 by brother and sister Mzi Nkonki and Sindi Zilwa, the second black woman in South Africa to become a chartered accountant, Nkonki was born into the turmoil of pre-democratic South Africa and faced numerous challenges, including access to funding and intellectual capital. Under Sindi’s aggressive and stereotype-shattering leadership, Nkonki would soon become one of the largest black empowerment assurance and advisory firms and the only majority female-owned auditing firm in South Africa to be accredited by the JSE to audit listed companies.

The evolution of technology and compliance requirements: Finance Indaba sneak peek 12

Financial service providers, from banks to broker dealers to investment advisors, face complex requirements of an expanding global regulatory landscape. Non-compliance with the rules can be extremely costly and damaging. But how can we address the regulatory requirements without losing operational efficiencies? Dominic Suszek, President and CEO of Global RADAR, has over 30 years of experience in the global financial industry. He will share his vision and experiences from a global perspective; from epic failures in compliance to the impact of technology. What is the state of compliance globally? How can we build efficient compliance processes? Dominic will show you how many financial institutions have successfully deployed a new breed of compliance tools. Join this Finance Indaba Africa session, hosted by DocFox, and discover the critical components of an effective and efficient compliance programme.

Does your internal audit create real value for business?: Finance Indaba sneak peek 10

Internal audit is an integral part of the governance processes within an organisation but is it providing real business value? They provide the ears, eyes and the internal evaluation of organisational activities to both the organisation executive and governing bodies. With great technology, internal audit has the opportunity to be more than checks and balances, though it will have to partner effectively. If you want to improve the business value of your internal audit, this session with Charles Nel, Head of Technical at IIA SA, will offer insights and practical steps to achieving a next level internal audit. Don't miss out at this year's Finance Indaba Africa.

Finance Indaba 2017: Nexia SAB&T is your bespoke financial services partner

"Nexia SAB&T provides an extensive range of professional services that are tailored to the specific requirements of our clients," says Ndumi Medupe, Chairperson of Nexia SAB&T, a silver partner at the Finance Indaba Africa 2017 on 12 and 13 October 2017 at the Sandton Convention Centre in Johannesburg.

Finance Indaba 2017: IIA SA creates value for business

"Internal auditors are an integral part of the governance processes within an organisation. They provide the ears, eyes and the internal evaluation of organisational activities to both the organisation executive and governing bodies," says Dr Claudelle von Eck, CEO of the Institute of Internal Auditors SA (IIA SA), a silver partner at the Finance Indaba Africa 2017 on 12 and 13 October 2017 at the Sandton Convention Centre in Johannesburg.

Auditor independence under the spotlight

“Professional skepticism is about auditing the time, mindset, attitude and related questions about how management has scouted the transactions and applied judgments and assessments within disclosures in the financial statements as well,” says Ken Siong, technical director of the International Ethics Standards Board for Accountants (IESBA). “It’s very critical [to have professional skepticism] to enable auditors to get to the bottom of issues to make sure they can be confident and evaluate critical issues, and whether those issues have been accounted for and presented in financial statements.”

Shareholders speaking out on auditor appointments

“What is clear is that the shareholders are beginning to make their voice heard at AGMs regarding the necessity for firm rotation to end excessively long relationships,” says Bernard Agulhas (pictured), CEO of the Independent Regulatory Board for Auditors (IRBA). “Where audit committees may feel a 20-year, 50-year or longer relationship might not impair auditor independence, shareholders are saying otherwise.”

Rodney Irwin: How CFOs can radicalise corporate reporting

“CFOs are in a unique position to make a difference – by taking steps to understand what reporting requirements are out there and how various risks may affect companies now and in the future, they can help safeguard their companies and advance the future of sustainability,” says Rodney Irwin, MD, Redefining Value at the World Business Council for Sustainable Development.

Risk-averse companies struggling with digital transformation - report

Overcoming aversion to risk is one of the most important characteristics of digitally native companies, according to a new study released today by MIT Sloan Management Review (MIT SMR) and Deloitte Digital. The sixth annual study, in its third year focusing on digital business, found that 71 percent of digitally maturing organizations have conquered this barrier by encouraging their organizations to experiment and accept the risk of failure, compared to 29 percent of early stage companies. The study, “Achieving Digital Maturity: Adapting Your Company to a Changing World,” examines the digital transformation habits of “digitally maturing” companies and what sets them apart from “digitally early stage” companies.

Leaders who show their vulnerability are appreciated, says Nonkululeko Gobodo

“It breaks my heart when I see talented young females and they are just sitting on boards as non-executive directors,” says Nonkululeko Gobodo, the country’s first-ever female chartered accountant. “If women are quitting, we are not going to produce the leaders we need,” she says. Nonkululeko sat down with CFO South Africa to talk about being a role model for female CAs, her deliberate but painful departure from SizweNtsalubaGobodo, and the new chapter in her professional life as a leadership consultant.

IIA SA presents Guardian of Governance awards to journalists

The annual Guardian of Governance award has been bestowed upon the eight SABC journalists (dubbed the SABC 8) fired for speaking out against the broadcaster's decision to censor protest coverage.

IIA SA partners with Finance Indaba 2017

The Institute of Internal Auditors SA (IIA SA) has joined Finance Indaba 2017 as a silver partner and will make its second showing at the event at the Sandton Convention Centre in October.

SizweNtsalubaGobodo joins Finance Indaba 2017

SizweNtsalubaGobodo has joined Finance Indaba 2017 as a platinum partner and will make its second showing at the event at the Sandton Convention Centre in October.

SekelaXabiso joins Finance Indaba 2017

SekelaXabiso has joined Finance Indaba 2017 as a platinum partner and will make its second showing at the event at the Sandton Convention Centre in October.

`Valuable insights and networking opportunities` at CFO Summit Series

The CFO Summit Series is an initiative from CFO South Africa to encourage networking and knowledge-sharing among finance professionals. Having only having been launched this year, with four instalments thus far, the series has taken off, with amazing feedback from guests.

Robust business conversations drive a high-quality audit, says Deloitte's Andrew Mackie

“I would encourage every incoming CFO to find a way to do some deep thinking as to who they are and how to fill the role,” says Andrew Mackie, Deloitte’s new Head of Audit & Assurance for Africa, comprising 15 countries and 185 partners. In this interview, Andrew talks to CFO South Africa about his passion for audit and transformation, the balancing act that finance executives have to go through every day, and how clarity of purpose and priority is what really matters for a leader.

Nkonki signs up for Finance Indaba 2017

Nkonki has joined Finance Indaba 2017 as a gold partner and will make its second showing at the event at the Sandton Convention Centre in October.

Finance Indaba 2017: Ngubane & Co is your full-service financial partner

“The key to the success of the company is our people. If you have one client who is dissatisfied, you are not likely to get new business. Our people are key and we have been very lucky to get good people," says Wilfred Ngubane, CEO and founder of Ngubane & Co, a gold partner at the Finance Indaba Africa 2017 on 12 and 13 October 2017 at the Sandton Convention Centre in Johannesburg.

CFOs need to be on the pulse of their organisations, says Investec's Nishlan Samujh

CFOs are an integral part of the corporate engine room. We live in difficult times – look at the conditions in Europe, the USA and back home in South Africa. CFOs have got to understand the heartbeat of their organisations and really feel the pulse, along with being connected to the external world," said Investec CFO Nishlan Samujh.

IRBA to probe KPMG as latest Gupta scandal breaks

Audit watchdog, the Independent Regulatory Board for Auditors (IRBA) is investigating whether KPMG defied regulation when it audited a company owned by the Gupta family. This, after reports following an investigation by AmaBhungane and Scorpio revealed that government funds intended for empowerment projects in the Free State were instead used to pay for a Gupta wedding.

CFOs should expect more change coming, says Standard Bank CIB's Suzette Els

“Allow compliance to participate in front line engagement to create a mutual understanding on key client challenges and pro-actively pick-up on key client challenges,” advises Suzette Els, Chief Compliance Officer for Standard Bank Corporate and Investment Banking. In this article, part of a series from Standard Bank specialists, Suzette talks about trends in the compliance space, how clients are being assisted with these, and what CFOs should expect.

IRBA: Extra measures required to promote transformation of audit profession

The Independent Regulatory Board for Auditors (IRBA) has said that additional measures to drive transformation will be required to address government’s concerns regarding de-concentration of the audit market and transformation. This in the face of criticism that Mandatory Audit Firm Rotation (MAFR) will not address transformation of the profession.

AG report: Clean audits for only 9 new municipalities

The auditor-general (AG) local government report has been released, showing the audit outcomes of 263 municipalities and 51 municipal entities. Unfortunately, there was little improvement in the local government audit outcomes for the year 2015/16, and very few municipalities achieved clean audit opinions.

Treasury Technologies signs up for Finance Indaba 2017

Treasury Technologies has joined Finance Indaba 2017 as a gold partner and will make its second showing at the event at the Sandton Convention Centre in October.

Firm rotation announcement shocks CFOs

The CFO Forum has said it is “deeply concerned” by the decision to introduce mandatory audit firm rotation (MAFR) for South African business.

Outstanding event: WATCH KPMG's John Saker at #findaba16

KPMG is a leading global professional service company and one of the "Big Four". Established in 1987 with headquarters in Amsterdam, KPMG employs 189 000 people, offering financial audit, tax, and advisory services. The firm, which is frequently cited as one of the best places to work and build a career, was also a diamond sponsor of CFO South Africa's Finance Indaba extravaganza in 2016.

Meet Nishlan Samujh (Investec), winner of the Compliance & Governance Award

For his diligent and forward-looking approach to risk and audit, Investec CFO Nishlan Samujh went home with the Compliance & Governance Award at this year’s CFO Awards, held on 11 May at Summer Place in Johannesburg.

Nexia SAB&T signs up for Finance Indaba 2017

Nexia SAB&T has joined Finance Indaba 2017 as a silver partner and will make its debut at the event at the Sandton Convention Centre in October.

Auditor-General of SA signs up for Finance Indaba 2017

The Auditor-General of South Africa has joined Finance Indaba 2017 as a silver partner and will make its second showing at the event at the Sandton Convention Centre in October.

Cost, risk and digital are top priorities in uncertain times, says Deloitte

A need for increased profitability in a low-growth domestic economy and increased global uncertainty are pushing chief procurement officers (CPOs) to add more value to their organisations. Defensive strategies being implemented by CFOs are demanding rapid, sustained cost reduction in parallel to a greater focus on risk from procurement. Traditional procurement operating models are therefore changing, driven by a lack of talent and an increase in digital innovation.

Enabling accountability: WATCH Auditor-General Thembekile Makwetu at #findaba16

South African Auditor General Thembekile Kimi Makwetu was one of the high-profile names at the Finance Indaba 2016. He opened the Finance for Africa programme and shared his vision on the importance of finance and how the Auditor-General of South Africa (AGSA) is enabling oversight, accountability and governance in the public sector.

The king of governance: WATCH Prof Mervyn King at #findaba16

Professor Mervyn King is recognised internationally as an expert on corporate governance and sustainability and is in great demand as an arbitrator and mediator. He is a founding member of the Arbitration Foundation of Southern Africa and for some eight years was the South African judge at the ICC International Court of Arbitration in Paris. He has acted as an Inspector of Companies and a Commissioner of Inquiries into the affairs of companies. He has chaired many meetings for the compromise of creditors of companies and the rearrangement of shareholders’ interests and lectured on corporate issues in 38 countries.

Focus on governance `bigger picture` - ACCA

Government needs to show stronger support for voluntary measures which improve corporate governance rather than impose a legislative mandate, according to the ACCA (the Association of Chartered Certified Accountants), a partner of the Finance Indaba 2017.

Raise risk to strategic level, urges CIMA report

Against a background of what Sir Peter Gershon describes as “arguably one of the most turbulent times we have faced for years”, board members need to constantly review their approach to, and understanding of, risk, according to a new study from a group of industry and professional services organisations.

There is no benefit in MAFR, says AECI CFO Mark Kathan

Public hearing about audit rotation in parliament

A public hearing on the IRBA’s measures to strengthen auditor independence and contribute to the efficiency of capital markets will be held in parliament on 15 February. The IRBA will present its annual report as well as the MAFR proposals to the Standing Committee on Finance (SCOF) during this time.

MAFR promotes sales over innovation, says KPMG's Michael Oddy

“The process of mandatory audit firm rotation (MAFR) is costly and will result in the promotion of a sales culture, rather than a focus on innovation and sustainable investment in audit quality,” says Michael Oddy, the partner in charge of audit at KPMG in South Africa. Moreover, he adds, it will have a negative impact on the audit profession.

SAICA `not yet` in favour of MAFR, says more research is needed

The South African Institute of Chartered Accountants (SAICA) says that more research is needed before introduction of mandatory audit firm rotation could be considered.

IRBA full steam ahead with mandatory firm rotation

Despite many CFOs rejecting mandatory audit firm rotation (see our recent interviews and articles on this matter by visiting our MAFR dossier), the Independent Regulatory Board for Auditors (IRBA) is continuing at full steam, with MAFR in South Africa set to kick in on 1 April 2023.

SA should reject MAFR says the AICPA

The Association of International Certified Professional Accountants (AICPA) has voiced its strong opposition to a plan by South Africa’s Independent Regulatory Board for Auditors (IRBA) to implement mandatory audit firm rotation (MAFR).

Deloitte: third party governance and risk management matures

As dependence on third parties becomes increasingly critical, organisations are being compelled to rapidly “catch-up” in enhancing the maturity of their Third Party Governance and Risk Management (TPGRM) processes. This, according to Deloitte’s 2016 global survey on the subject.

Moody's: Downgrade still a possibility in 2017

Ratings agency Moody’s has said that South Africa will face several key ratings decisions this year, and that the possibility of a downgrade still looms.

Age of radical uncertainty: WATCH business expert Terry Moore at #findaba16

Business expert Terry Moore examined the historical basis for what he called "an age of radical uncertainty" and provided advice for attendees on surviving a rapidly changing environment and disruption during a presentation at the Finance Indaba Africa 2016. While bemoaning the fact that risk had been passed onto employees, he also presented opportunities for financial executives and businesses in the seeming chaos.

Clean audit for Department of Social Development

The Department of Social Development, whose finance division is headed up by 2016 CFO Awards nominee Clifford Appel, has received a clean audit for the year 2015/2016. It was one of nine other national departments to achieve this hard-won feat. According to the auditor-general (AG), the number of auditees that received financially unqualified opinions with no findings (clean audits) increased overall from 122 in 2013-14 to 152 in 2015-16.