WATCH: Auditing — from watchdog to lapdog?

Corporate governance has mirrored the decline in the country’s fortunes over the past few years. Steinhoff, Tongaat and VBS Mutual Bank stand out in the rogues’ gallery. Central to these scandals has been the role of the audit function both internally and externally.

The profession is facing a sort of existential crisis as liability claims increase on the one hand and the market demands more accountability, insight and foresight on the other.

Observers in SA have also raised their eyebrows at recent senior leadership appointments at the Institute of Internal Auditors SA and the Independent Regulatory Board for Auditors, the regulators for internal and external audits in the country.

All these issues raise the question, who guards the guardians?

Michael Avery speaks to University of Pretoria (UP) chancellor Wiseman Nkuhlu, who recently released his book detailing his time as chair of KPMG, titled Enabler or victim? KPMG SA and State Capture. Also on the panel are renowned corporate governance expert Prof Mervyn King, who has recently published a book on auditing with colleague Linda de Beer, titled The Auditor: Quo Vadis?,  and Prof Karin Barac​, head of the department of auditing at UP.