Supervision

The most essential task of the Board is the supervision of auditors and audit firms. It takes 80 percent of the staff's total working hours and around 65 percent of the Board's financial resources.

This supervision is initiated and carried out in various ways. Firstly, the Board receives complaints, which usually lead to a disciplinary case. Secondly, the Board opens investigations and disciplinary matters on its own initiative. Thirdly, the Board carries out quality control inspections. The purpose of these controls is to identify and direct inspections towards auditors in high risk groups. If such an action reveals substantial drawbacks a disciplinary investigation will be opened. Quality control inspections are also on a regular basis directed towards major audit firms on assignments for listed companies.

Finally the Board monitors the quality assurance reviews carried out by the institute. This is done by selecting a sample of completed reviews and going through all documents issued by the reviewer in order to assess the conclusions made. If major negligence is revealed in the institute's review, it is obliged to report such negligence to the Board. The Board will then open a disciplinary investigation.