The Public Oversight, Accounting and Auditing Standards Authority Published a Decision Regarding Concordatum Audits
Gizem Şimşek co-authored this article.
The Public Oversight, Accounting and Auditing Standards Authority (“Authority”) published its decision numbered 75935942-050.01.04-[01/35887] and dated 29.09.2025 (“Decision”) in the Official Gazette No. 33037 and dated 04.10.2025.
The Decision introduces certain restrictions on the persons who will carry out audit activities for the preparation of the reasonable assurance audit report, which is among the documents to be attached to a concordat application pursuant to subparagraph (e) of the first paragraph of Article 286 of the Enforcement and Bankruptcy Law No. 2004.
The Authority, with the aim of enhancing confidence in auditing and improving audit quality, has unanimously resolved as follows:
1. In the process of preparing the reasonable assurance audit report regarding the concordat preliminary project, if the activity license of an independent audit firm has been revoked due to violations requiring such a sanction, the following persons—provided that the relevant audit agreement was signed between the date of the agreement and the date on which the administrative sanction decision became final—
a. Independent auditors who are members of the management body,
b. Independent auditors who are partners,
c. Responsible auditors who participated in the audits that led to the revocation of the activity license,
shall not be allowed to take part in reasonable assurance audits related to concordat preliminary projects for a period of three (3) years from the date on which the decision regarding the revocation of the activity license becomes final.
2. For reasonable assurance audit engagements to be signed after the publication date of the Decision, audit teams must be formed in compliance with the above-mentioned prohibition.
3. If there are auditors who fall within the scope of the aforementioned prohibition in audit engagements signed prior to the publication date of the Decision, the ongoing audit activities may be completed by the existing teams, provided that the contracts are reported to the Authority within ten (10) days.
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