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Audit not a substitute for good corporate governance

Management is still primarily responsible for maintaining proper financial records and preparations of the financial statements. BY TITUS KUAN AND ANG SOON LII

An audit is not meant to be a fraud investigation. However, an auditor is nonetheless required by the auditing standards to identify and assess the risk of material error in the financial statements as a result of fraud and any fraud risk.

RECENT high-profile cases of financial irregularities in certain non-profit organisations have once again turned the spotlight on the role of the auditor in such cases and how such matters can be prevented.

Non-profit organisations (NPO) such as charities, associations and religious