ICGI Series 04 - Empowering Auditors - AI Co-piloting ABC - Audit Firms, Banks and Companies

ICGI Series 04
Empowering Auditors
An AI Copiloting ABC - Audit Firms, Banks and Companies

1. An Intro to AI as a copilot.

2. Traditionally ICAI has been bringing in Accounting Standards from IASC/B and now IFRS a global standardization for Accounting and Auditing. The IASB operates under the oversight of the IFRS Foundation. The IASB was formed in 2001 to replace the International Accounting Standards Committee (IASC).

3. I pinpoint here IAS 38 Intangible Assets that was introduced in 1998 with the consequential impact on Audit Profession. I have given my recommendations to restore the GRACE [Governance, Responsibility, Authority, Credibility and Enablement] of the Audit Profession.

4. IFRS in its website states:
The purpose of international accounting standards is “to develop IFRS® Standards that bring transparency, accountability, and efficiency to financial markets around the world.

5. I dwell upon the word Accountability, which has not been dealt with by IFRS also, let alone ICAI.

6. In order for ABC - Audit Firms, Banks, Investee Companies and Companies to be transformative in bringing in Governance standards, I present the requisite science based SOS [Subject-Object-Self] Governance Standards with an FEC Report for each of the above mentioned entities.

7. Case studies of M&M and RIL are made available.

8. Empowering Auditors is the crux of my presentation that I call for strengthening ICAI to recalibrate its working to the demands of our society that is made up of MSMEs and pan puri walahs that our Chartered Accountants cater to. Our CAs are a wonderful lot inspired by ethical motive and as my presentation proves big 4 are driven by profit motive. CREAM Report [Corporate Governance, Risk Management, Earnings, Accounting Quality and Management Quality] is common to all, the balance sheet of SOS Governance.

9. I have also recommended to set targets for 2030 and 2047 and play like an ODI to track performance, ex-ante instead of ex-post-facto. All can follow this principle including GoI.