Question

What alternative strategies or approaches could U.S. regulatory agencies consider invoking to ensure that the audits of non-U.S. companies with securities traded on U.S. markets are adequate?

Answer 1

U.S. Regulatory agencies may consider the below mentioned approaches or strategies to ensure that the audits of non-U.S. companies with traded securities in the markets of U.S. are adequate:

-- Development of regulations mandating accurate declaration on the financial activities

-- Development of the audit procedures for efficient investigation of fraudulent practices in accounting

-- Setting the independent organizations for checking the practices in auditing of non U.S. auditing firms for possible fraud occurrences.

-- Setting the procedures in investigation to unfold the possible fraudulent activities.

-- Ensures that the procedures in auditing are in line with the global accounting and auditing regulations