Author: Elena Dobre
This paper aims at improving audit practices, at least, for our national audit practitioners. Such possibilities are discussed as case study regarding an audit of a public entity as a related party (relationship & transactions) with a private company. This reveals a fraud risk by periodical re-negotiating of significant contracts combined with internal controls deficiency. In order to avoid and remove such bad practices, the Romanian financial auditors, fraud examiners, taxation consultants and even legal advisers, need rigorous learning and professional development and adequate evaluation frameworks, combining in a competent responsible manner quantitative and qualitative evaluation made by a peer-review schema. Exclusive quantitative approaches are not adequate for a correct evaluation. An efficient evaluation must involve human specialists, including financial auditor’s colleagues. The results for entire professional body may result in higher quality judgments and a good assimilation; not only good practice international standards, but even entire experience of practitioners in this field was recommended. Emphasizing of professional skepticism arises with enough experience.
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