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On Sworn Auditors

Original Language Title: Par zvērinātiem revidentiem

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The Saeima has adopted and the President promulgated the following laws: For sworn auditors (I) chapter. General provisions article 1. The law is applied in the following terms: 1) the sworn auditor: a person who has received a certificate in accordance with Latvian certified auditor of the Association;
2) certificate: a document that certifies an individual's professional competence and gives it the right to carry out audits of the annual report and other audit tasks;
3) annual report-audit company (company) or organisation of the examination of the annual report in accordance with the laws governing the company (company) or organisation's annual accounts;
4) Audit: Enterprise (company) or organisation's financial and operating inspection in accordance with the signed agreement shall take the sworn auditor;
5) annual report — the law under a mass of news about the company's (the company) or the Organization's financial and economic activities;
6 Group companies as a whole), established pursuant to law explanation "Of the annual accounts";
7) certified auditor registry — a set of messages for sworn auditors and their professional activities;
8) Latvian certified auditor Association — a public organization that unites all sworn auditor in this statutory activities and all the people who passed the Latvian Council of sworn auditors Association qualifying examination;
9) the Latvian Council of sworn auditors Association guidelines — Latvian Sworn Auditors Association developed and adopted auditing standards, professional ethics, as well as others this Association Certified Auditor professional regulatory guidance.
2. article. This law regulates the professional activities of the persons legal basis for carrying out audits of the annual accounts and audit tasks to other companies (companies) and organizations.
3. article. (1) sworn auditor in their professional duties in accordance with this law and other laws and is independent of the company, as well as natural and legal persons and legitimate interests of the rights advocate business.
(2) State, company or employer are not entitled to influence a certified auditor in his professional duties, the decision making of the company (the company) or the Organization's annual report, audit tasks, the tasks of the expert and trust.
4. article. (1) for the Certified Auditors can be legally incompetent persons who meet all the conditions: 1) have reached 25 years of age;
2) have got higher economic education or higher education in other subjects and have passed the qualifying examination of the economic fundamentals;
3) have passed the Latvian Council of sworn auditors Association qualifying examination;
4) they are the Latvian Council of sworn auditors association recognized at least three years experience in audit work;
5) have received a certificate in accordance with Latvian certified auditor of the Association;
6) they have impeccable reputation.
(2) a sworn certificate of Auditor issued by the Latvian Council of sworn auditors Association. Sworn auditor's certificate suspended or cancelled by the Latvian Association of Certified Auditors.
5. article. (1) in his professional capacity sworn auditors are independent and are subject to the laws and the Latvian Council of sworn auditors Association.
(2) State and local government institutions, courts, prosecutors and preliminary investigation authorities must guarantee the certified auditor independence.
(3) in order to guarantee the certified auditor independence, it is prohibited to: 1) tamper with the certified auditor professional activities influence or affect them;
2) request of sworn auditors messages and explanations, as well as interrogated them as witnesses of the facts which become known to them by providing professional services;
3) control the postal, telegraphic and other forms of correspondence, as well as documents that Certified Auditors received, providing professional services, to draw a correspondence and document viewing and removal, as well as to search, find and remove the correspondence and documents;
4) control using this article referred to in paragraph 3 of the procedural means, certified auditor for the provision of professional services required information systems and means of communication, including electronic means of communication, to get information from them and to intervene in their operations;
5) request from the audit task partners news about the certified auditor for professional services provided by the content;
6) expose the Chartered Auditors any sanctions or threats in connection with the audit of the management of the task according to the law the professional services to be provided;
7) called Chartered Auditors at any type of writing or orally expressed statements, which they provided, in good faith in the performance of their professional duties.
Chapter II. Sworn auditor's rights, duties and responsibilities article 6. Sworn auditor is entitled to give an opinion on a company or organization (company) the annual accounts according to the law on annual accounts "," insurance ", of the law of credit institutions and other statutory requirements.
7. article. (1) sworn auditor professional services provided in accordance with the signed agreement.
(2) a sworn auditor is entitled to provide professional services: 1) at the invitation of the law enforcement authorities in any enterprise (company) or organisation;
2) by company (company) or organisation governing body invited them in enterprises (companies) and organizations;
3) by company (company) or organisation authorities call those exposed (companies) businesses and organizations;
4) following the invitation of the parent company of the Group subsidiaries and the group as a whole.
8. article. (1) the employer of the audit task has the right freely to choose a certified auditor. Sworn auditor has the right to freely choose a company or organization (company), with whom a contract for the provision of professional services.
(2) a sworn auditor must not undertake the auditing of the annual accounts or to carry out this audit, non-compliance with the Latvian Council of sworn auditors Association.
9. article. After receipt of the audit task by the sworn auditor must inform in writing the audit task management that compliance with this law, article 8 of the conditions referred to in the second subparagraph.
10. article. Company (companies) or organization must provide certified auditor with all the necessary information to him and show him all the audits, the necessary documents, including those that contain company (the company) business secrets.
11. article. Sworn auditor is prohibited from disclosing information that he has learned, in the exercise of professional duties. He should not be using that information or disclose without audit task's written authorization, except in accordance with the Court's ruling is entitled or obliged to do so.
12. article. The losses incurred by the sworn auditor fault, then intentionally or through negligence in the performance of their professional duties, damages not later than three years after the date of signature of the auditor's opinion.
13. article. Sworn auditor's civil liability is to take out the Cabinet fixed minimum amounts and in accordance with the Latvian Council of sworn auditors Association.
Chapter III. The Latvian Council of sworn auditors Association article 14. The Latvian Council of sworn auditors Association is a public organization that combines all the Professional Association Chartered Auditors and all persons who have passed the Latvian Council of sworn auditors Association qualification exams.
15. article. The Latvian Council of sworn auditors Association is designed to: 1 implement the governance of the profession);
2) developed and adopt auditing standards, as well as other Latvian Sworn Auditors Association and governing interpretative guidance;
3) promote vocational skills, develop creativity and experience, as well as take care of their own profession's prestige.
16. article. Latvian Sworn Auditors Association represents the interests of its members and defend them, as well as other legislation and the statutes of the Association and perform the action for the approval of the decisions of the Association.
Transitional provisions 1. With the entry into force of this law shall lapse: 1) the law on Certified Auditors "(Latvian Saeima and the Cabinet of Ministers rapporteur, 1995, no. 20);
2. Article 81 of the Constitution) in the order issued by Cabinet of Ministers Regulations No. 299 "for sworn auditors" (Latvian Saeima and the Cabinet of Ministers rapporteur, 1996, no. 19).
2. a sworn auditor's licence issued on the basis of the laws that were in force before the entry into force of the Act, shall be as valid and comparable to sworn auditor certificate No.
3. The Cabinet of Ministers to the 1997 January 1 sets the sworn auditor's liability insurance in the minimum amount.

The law shall enter into force on 1 January 1997.
The Parliament adopted the law of 6 November 1996.
In 1996, 26 November, President g. Ulmanis