Audit committees must demonstrate informed oversight and ask tougher questions to reduce the risk of financial misstatements, Doyin Owolabi, former president of the Institute of Chartered Accountants of Nigeria (ICAN), has said.
Owolabi spoke at the Audit Committee Conference held recently in Lagos, where experts highlighted the roles of audit committees, internal auditors and regulators in strengthening corporate governance and preventing fraud.
Presenting a paper titled ‘Gate-Keeping: Detecting Error and Fraud in Financial Reporting,’ Owolabi said effective gatekeeping requires vigilance, knowledge and constant attention to emerging risks.
“Gate-keeping requires a posture that is informed, vigilant and attentive,” he said.
According to him, gatekeepers play a critical role in ensuring that financial statements accurately reflect the economic realities of organisations.
