1. Legal action – shareholders can sue auditors who issue misleading reports leading to investment losses.
2. Instituting disciplinary measures – professional bodies such as ICPAK have disciplinary measures against their members who are involved in unethical practices e.g. withdrawal of practicing certificate.
3. Use of audit committees – audit committees made of board members can be put in place with the mandate of monitoring and reviewing the work of the auditor.
4. Removal of auditors – the shareholders may decide to remove the auditor from office or fail to reappoint him during annual general meeting.
Lellah answered the question on November 8, 2021 at 06:44
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