Doralt, Walter
[Author]
;
Fleckner, Andreas Martin
[Other];
Hopt, Klaus J.
[Other];
Kumpan, Christoph
[Other];
Steffek, Felix
[Other];
Zimmermann, Reinhard
[Other];
Hellgardt, Alexander
[Other];
Augenhofer, Susanne
[Other]
Footnote:
In: Rivista delle Società, Vol. 56, pp. 485-493, 2011
Nach Informationen von SSRN wurde die ursprüngliche Fassung des Dokuments 2011 erstellt
Description:
Trust in the independence of auditors is essential for the functioning of markets. If auditors are not independent or not believed to be independent, transaction costs will rise. In our view, structural weaknesses currently impair auditor independence. We therefore put forward several reform proposals: consulting engagements of statutory auditors should be limited; the fees generated from an audited company should be disclosed; auditors should be appointed for a fixed multi-year period; following an internal rotation, one renewal should be possible; thereafter, an external rotation should be required, excluding the current audit firm from performing the statutory audit for one subsequent term. With these and related measures, trust in the independence of auditors will be restored and strengthened