SMS Latinoamérica has been named a full member of the Forum of Firms after reporting it has implemented a globally coordinated quality assurance program, committed to the use of International Standards on Auditing (ISAs), and met other specific ethics requirements, the Forum announced today. Seventeen other international networks of accounting firms achieved full member status earlier this year. A list of the Forum's members is attached.
The Forum of Firms is an association of international networks of accounting firms. These firms perform audits of financial statements that are or may be used across national borders. The Forum's goal is to promote consistent and high quality standards of financial reporting and auditing practices worldwide.
In order to achieve full membership status, SMS Latinamérica had to commit to meet the Forum's membership obligations which require members to:
- Maintain appropriate quality control standards in accordance with International Standards on Quality Control issued by the International Auditing and Assurance Standards Board (IAASB) in addition to relevant national quality control standards and conduct, to the extent not prohibited by national regulation, regular globally coordinated internal quality assurance reviews;
- Have policies and methodologies for the conduct of transnational audits that are based, to the extent practicable, on ISAs issued by the IAASB; and
- Have policies and methodologies which conform to the IFAC Code of Ethics for Professional Accountants and national codes of ethics.
As of July 2008, of the 22 Forum members, 18 are full members and four are provisional members. The Forum's remaining provisional members are working toward becoming full members in 2008. For additional details on the Forum of Firms, please visit: http://www.ifac.org/Forum_of_Firms/.