Responsibilities, actions and reporting

Generally 1 mark for each point discussed:

– Management responsible for compliance with laws and regulations
– Auditor responsible for understanding applicable laws and regulations
– There is suspected non-compliance with laws and regulations and further procedures are necessary
– Matter should be discussed with those charged with governance
– Need to understand reason for non-disclosure/encourage management to disclose
– The need for external reporting should be evaluated
– Legal advice may be sought
– Confidentiality may be overridden in some circumstances

Maximum marks 6