Auditing Profession Act, 2005 (Act No. 26 of 2005)Board NoticesIndependent Regulatory Board for AuditorsNew Rules Regarding Improper Conduct and Code of Professional Conduct for Registered AuditorsCode of Professional Conduct for Registered AuditorsPart B : Registered Auditors in Public PracticeSection 290 : Independence-Audit and Review EngagementsTemporary Staff Assignments |
| 290.142 | The lending of staff by a firm to an audit client may create a self-review threat. Such assistance may be given, but only for a short period of time and the firm's personnel shall not be involved in: |
| • | Providing non-assurance services that would not be permitted under this section; or |
| • | Assuming management responsibilities. |
In all circumstances, the audit client shall be responsible for directing and supervising the activities of the loaned staff.
The significance of any threat shall be evaluated and safeguards applied when necessary to eliminate the threat or reduce it to an acceptable level. Examples of such safeguards include:
| • | Conducting an additional review of the work performed by the loaned staff; |
| • | Not giving the loaned staff audit responsibility for any function or activity that the staff performed during the temporary staff assignment; or |
| • | Not including the loaned staff as a member of the audit team. |