Bangladesh Securities and Exchange Commission (BSEC) yesterday decided to term void the auditing right of Ahmad & Akhtar Chartered Accountants on listed companies. Hence, they directed auditor Ahmad and Akhtar not to audit listed companies as the firm has become a proprietorship firm as its partner Shaheed Mohammad retired from the firm on March 4 this year.
The Institute of Chartered Accountants of Bangladesh on May 26 sent a letter to the BSEC regarding the matter. Therefore, the regulator directed Ahmad and Akhtar not to audit financial statements of the listed companies.
The auditor is also not allowed to audit the reports on use of listed companies’ fund raised through initial public offering, repeat public offering and rights issue. It was also asked not to provide certificate regarding obeying corporate governance code by the listed companies.
The auditor has been facing criticism as there was allegation that the auditor didn’t audit financial reports of Coppertech Industries properly. The Financial Reporting Council ordered the ICAB to probe into the allegation.
But, the auditor disappointed the ICAB on a number of occasion as the auditor refused to cooperate with its regulator on some pretexts. The audit firm sought permission from the BSEC whether it should give documents to its regulator ICAB. The BSEC is yet to give the permission to the auditor.