Beruflich Dokumente
Kultur Dokumente
Introduction
(prop: slide, bgm)
[BGM]
Scene 1
(prop: scene cutter, bgm, 3 chair, 2 table, file, pen, papers, video) atin, anis
- In Auditors Office -
[BGM]
Narrator: the Auditors are preparing an Audit Report for APC Civil Ltd for the year
31 March 1997. Before finishing it, he said to his staff
Bannerman: Do you all agree and satisfied with the content in this report?
However they did not realize that the disclaimer statement are not disclose in the
report.
[Video audit report that been signed]
Scene 2
(prop: scene cuter, bgm, 3 chairs, 2 tables, a report) tina, effah
Selena: Hi Good Morning. Im from APC Ltd. This is our Audited Financial
Statement.
Narrator: After an hour of discussion between the bank and the client, the bank
decided to approve the loan.
[BGM]
Scene 3
(prop: scene cuter, bgm, remote tv, chair, video, handphone) - tina
Narrator: The manager is having a leisure time in his house. He decided to watch
some news on the TV to occupy his sweet time.
Narrator: During the news, the manager realized that APC who was a borrower
from the bank has suffered loss.
[Justins phone ringing]
Other bank manager: Hello? Do you see the news about APC?
Other bank manager: Dont you remember? They had borrowed from our bank.
They couldnt pay back our money. We will suffer loss.
Justin: Oh-My-God!
[BGM]
Scene 4
(prop: scene cuter, bgm, chairs, table, report, letter, video) tina, anis, atin
- In Manager Banks Office
Narrator: After having conversation with the staff, Justin seems anxious after
hearing the news. So, he decided to rush back to his office.
Narrator: Justin rechecks the audit report and discovered that there was no
disclaimer statement from the auditor. In his mind, theres only one thing that he
wants to do and that is sue the auditor for breach of duty of care.
[BGM]
- In Auditor Office
[BGM]
Narrator: Back in the auditors office, one of his staff knocked on his door and enter
with a letter in his hand. He gives it to Mr Bannerman and said
Narrator: as he open the letter,Bannerman got shocked and finds out that he was
being sued by the bank and need to attend to the court for a trial.
[Video letter from court]
Scene 5
(prop: scene cuter, bgm, 2 chairs, 2 tables, file, judge hammer, lawyer suit, bear)
effah, tina, atin, anis
- In court-
Narrator: The trial begins in a court. The trial begins with the prosecutor opening
his argument.
Prosecutor: The reason why my client wants to sue the defendant is because of the
defendant is in breach of duty of care.
The lawyer replies back by stated that
Lawyer: But under Section 174 of CA 1965, it is the responsibility of the auditor to
form an independent opinion, based on our audit, on the financial statement and
to report as a body and for no other purpose.
The prosecutor support his argument by adding the case of caparo. He stated
that
Prosecutor: By relying to the case of Caparo, the defendant should disclose the
disclaimer in the audit report, to not disclaim their responsibility, that they could
be held owing a duty of care to a third party, if knew for ought to have known that
the third party would rely on the audited account for lending or investment
decision.
Narrator: After a few hours of the trial, the court decided that the auditor is being
held guilty for the absence of disclaimer of the statement, which is the breach of
duty of care.
[BGM - The judge knock judge hammer]
Conclusion
(prop: bgm, slide)
Narrator: In conclusion, the auditor should disclose the disclaimer statement in the
audit report. Auditors could have disclaimed responsibility to third parties in their
audit reports years ago to avoid being sued by third party.