M26060.2 – Regulatory and Ethical Requirements, including for PIE Auditors (Online)
MIA Audit Excellence Series in collaboration with Accountancy Board
Registration Time: 09:15
Session Time: 09:30 – 12:45 including a 15-minute break
Speakers: Mr Mirko Rapa & Mr Giles Schembri
Venue: Online Webinar
Participation Fees
MIA Members: €40.00 | Non-MIA Members: €80.00 | Retired Members: €25.00 | Students: €35.00
Enjoy a 10% discount on group bookings.
Background Information
This online session focuses on key regulatory and ethical requirements applicable to audit practitioners, including Public Interest Entity (PIE) auditors. Organised in response to common shortcomings identified during regulatory inspections, it provides practical guidance to strengthen compliance with independence, ethical and documentation requirements, covering prohibited non-assurance services.
Target Audience: Audit practitioners, statutory auditors, audit firms, compliance and quality management personnel, including those working with PIE audit engagements.
Speakers: Mirko Rapa (Tax Partner, PwC Malta); Giles Schembri (Partner, KPMG Malta).
CPE Competencies: 3 Core
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The increasing focus on audit quality continues to place independence and ethical compliance firmly at the centre of the regulatory agenda. This is particularly evident in relation to audits of public interest entities (PIEs), where expectations are higher and the consequences of deficiencies are more significant.
The upcoming session on regulatory and ethical requirements, scheduled for 10 July as part of the Audit Excellence Series organised in collaboration with the Accountancy Board, reflects a broader trend across jurisdictions: regulators are placing heightened emphasis on the robustness of independence frameworks and the effectiveness of firms’ ethical governance. This is not without reason. Independence is not only a formal requirement but a fundamental precondition for trust in the audit process. Where it is compromised, whether in substance or perception, the credibility of the audit itself may be called into question.
Recent inspection findings consistently highlight independence as an area where deficiencies continue to arise. In particular, regulators have identified weaknesses in the management of non‑assurance services, including instances where services provided to audit clients create potential self‑review threats or are not appropriately assessed against ethical requirements.
For PIE audits, the regulatory framework is even more stringent, with explicit prohibitions on certain non‑assurance services and heightened expectations regarding the evaluation and mitigation of threats to independence.
Alongside independence considerations, documentation remains another recurring area of focus during inspections. Regulators increasingly expect firms to demonstrate, through clear and comprehensive documentation, how ethical requirements have been identified, assessed and addressed. The absence of adequate documentation not only raises questions about compliance but also undermines the ability of firms to evidence the professional judgements made throughout the engagement.
In practice, firms face a number of challenges in meeting these expectations. The evolving regulatory landscape, particularly with ongoing revisions to ethical standards, requires continuous monitoring and adaptation. At the same time, balancing commercial considerations with strict independence requirements, especially in relation to non‑assurance services, can be complex. Firms must also ensure that policies are effectively embedded in day‑to‑day practices, rather than treated as compliance exercises.
Addressing these challenges requires more than technical knowledge of the rules. It calls for strong internal governance, effective quality management systems and a culture that prioritises ethical behaviour at all levels of the organisation. Clear communication with those charged with governance, robust internal review processes and ongoing training are all essential components in strengthening compliance.
Ultimately, independence and ethical compliance should not be viewed solely through a regulatory lens. They are critical enablers of audit quality and public confidence. As regulatory scrutiny continues to increase, firms that proactively strengthen their frameworks, address common areas of deficiency and embed a culture of integrity will be better positioned to meet expectations and deliver high‑quality audits in an increasingly demanding environment.
Register: https://members.miamalta.org/event-6647302/Registration
Event page: https://members.miamalta.org/event-6647302