PCAOB Enters Into Cooperative Agreement with Irish Audit Regulator
The Public Company Accounting Oversight Board today announced that it has entered into a cooperative agreement with the Irish Auditing and Accounting Supervisory Authority.
The agreement allows for cooperation between the PCAOB and IAASA, including joint inspections, in the oversight of audit firms subject to the regulatory jurisdiction of both organizations.
"I am pleased that we have reached this agreement with the IAASA, which will allow the PCAOB to conduct joint inspections and other coordinated oversight," said PCAOB Chairman James R. Doty. "The agreement reflects our common interest in enhancing investor protection in our respective markets through rigorous audit oversight."
PCAOB-registered firms in Ireland currently audit issuers listed on U.S. exchanges with a collective market capitalization of about $75 billion.
The PCAOB has cooperative agreements in place in most European countries where there are PCAOB-registered firms that the PCAOB is required to inspect.
The cooperative agreement with Ireland provides a framework for joint inspections and allows for the exchange of confidential information in accordance with applicable Irish law and the Sarbanes-Oxley Act in the United States. With this agreement, the PCAOB has executed cooperative agreements with 15 European audit regulators.
"Ireland is a very important jurisdiction for global investors, especially as more multinational companies set up operations there," said Bruce Wilson, PCAOB Director of International Affairs. "There are now only a very few cooperative agreements still under negotiation in Europe."
Under the Sarbanes-Oxley Act, the PCAOB is required to oversee and inspect all accounting firms that regularly audit public companies whose securities trade in U.S. markets. Nearly 900 audit firms currently registered with the PCAOB are located outside the United States in 84 countries. Currently, 12 registered firms are located in Ireland.