Australian Securities and Investments Commission (Auditing and Assurance Standards Board—Part-time Member) Appointment (No. 3) 2022

Overview

The Australian Securities and Investments Commission (Auditing and Assurance Standards Board—Part-time Member) Appointment (No. 3) 2022 was enacted to fill a specific need within the Auditing and Assurance Standards Board (AASB) by appointing a qualified part-time member. This notifiable instrument was issued by the Financial Reporting Council (FRC), in accordance with subsection 236F(2) of the Australian Securities and Investments Commission Act 2001, recognising the individual's suitability under subsection 236F(4) of the Act. The policy objective of this appointment is to enhance the AASB’s capability by incorporating additional expertise and perspectives, thereby contributing to the effectiveness and integrity of auditing and assurance standards in Australia. The appointment of Chi Woo, effective from 1 January 2023 until 31 December 2025, aims to bolster the AASB's role in maintaining high standards within the financial reporting sector.

Scope and Application

The Australian Securities and Investments Commission (Auditing and Assurance Standards Board—Part-time Member) Appointment (No. 3) 2022 applies to the appointment of Chi Woo as a part-time member of the Auditing and Assurance Standards Board, a body established under the Australian Securities and Investments Commission Act 2001. The appointment is made by the Financial Reporting Council, ensuring that the appointee meets the qualifications stipulated in the Act. The appointment is effective from 1 January 2023 until 31 December 2025, and the jurisdiction of this Act is federal, falling under the purview of the Commonwealth of Australia. The Act does not specify any exclusions, exemptions, or thresholds in its direct terms; however, the qualifications for appointment and the powers of the Auditing and Assurance Standards Board are outlined in other sections of the Australian Securities and Investments Commission Act 2001. The scope and application of this Act are further governed by any subordinate instruments that may extend or restrict its application, though no such instruments are explicitly referenced in the text of this notifiable instrument.

Key Provisions

The Australian Securities and Investments Commission (Auditing and Assurance Standards Board—Part-time Member) Appointment (No. 3) 2022 (F2022N00258) appoints Chi Woo as a part-time member of the Auditing and Assurance Standards Board, effective from 1 January 2023 to 31 December 2025. This appointment is made under the authority of the Australian Securities and Investments Commission Act 2001 (ASIC Act) and is based on the Financial Reporting Council's (FRC) assessment that Chi Woo meets the qualifications specified in subsection 236F(4) of the ASIC Act. This notifiable instrument serves as a formal notification of Chi Woo's appointment and delineates the terms of service. Chi Woo, as a member of the Auditing and Assurance Standards Board, will be subject to the obligations and requirements outlined in the ASIC Act. These obligations include participating in the formulation of auditing and assurance standards, ensuring the integrity and reliability of financial reporting, and contributing to the oversight and regulation of auditing practices in Australia. The part-time nature of the role implies that while Chi Woo is expected to fulfil these duties, they will not be required to dedicate full-time hours to the position. Under the ASIC Act, breaches of the conditions of appointment, failure to fulfil the duties, or misconduct can lead to various consequences. These may include the termination of the appointment, which would effectively remove Chi Woo from the Auditing and Assurance Standards Board. Additionally, any misconduct or failure to perform duties can lead to further legal repercussions, including potential civil or criminal penalties as prescribed by the ASIC Act. While the specific maximum penalties are not detailed in the notifiable instrument itself, they would be determined by the relevant sections of the ASIC Act and could encompass fines and other corrective measures.