SCHEDULES

SCHEDULE 10 Recognised supervisory bodies

Part 2 Requirements for recognition of a supervisory body

Independent monitoring of audits of listed companies and other major bodies

13 (1) The body must—

(a) participate in arrangements within paragraph 23(1), and

(b) have rules designed to ensure that members of the body who perform any statutory audit functions in respect of major audits take such steps as may be reasonably required of them to enable their performance of any such functions to be monitored by means of inspections carried out under the arrangements.

(2) Any monitoring of such persons under the arrangements is to be regarded (so far as their performance of statutory audit functions in respect of major audits is concerned) as monitoring of compliance with the body’s rules for the purposes of paragraph 12(1).

(3) In this paragraph—

• “major audit” means a statutory audit conducted in respect of—

  (a)

  a company any of whose securities have been admitted to the official list (within the meaning of Part 6 of the Financial Services and Markets Act 2000 (c. 8)), or

  (b)

  any other person in whose financial condition there is a major public interest;

• “statutory audit function” means any function performed as a statutory auditor.