The inspectors of the CyPAOB conduct inspections of audit firms carrying out statutory audits of public interest entities (PIEs) every one, three, or six years period, in accordance with the provisions of the relevant legislation and the policies of the Board of Directors of CyPAOB. It also supervises the Institute of Certified Public Accountants in Cyprus (ICPAC) as part of the evaluation of the implementation of the provisions of the Delegation Agreement from the CyPAOB to the ICPAC.
The inspections include the assessment of the firms' quality control systems (Firm Wide controls – ISQM1) and inspections of PIEs' audit files. The selection of audit files for inspection is based on risk assessment criteria, while a small number of PIEs' audit files are chosen randomly. The inspections are based on the Common Audit Inspection Methodology (CAIM) initially developed within the framework of the European Audit Inspection Group (“EAIG”) and now managed by the Committee of European Auditing Oversight Bodies (“CEAOB “), whose members are all the European Union member states. Published methodologies in respect of CAIM are available in the ‘Guidelines/opinions’ section of the CEAOB publications website (see link here).
List of auditors of Public Interest Entities: