The staff of the American Institute of CPAs, the International Ethics Standards Board for Accountants and the International Auditing and Assurance Standards Board have jointly released guidance on the use of specialists in COVID-19 environment, including some considerations involving the use of specialists when auditing financial statements during the pandemic.
The staff guidance, released Tuesday, aims to help accountants and auditors determine when there might be a need to use the services of a specialist to help them perform specific tasks and other professional activities within their own organizations, as well as when they serve their clients during the COVID-19 pandemic. The publication discusses some of the ethical considerations for accountants to think about when using a specialist, along with some of the circumstances that indicate a need for a specialist when auditing financial statements.
The novel coronavirus pandemic has forced many accountants and auditors to work remotely, as well as curtailed travel to client locations, particularly those located abroad, when travel restrictions remain in place in many countries.
Jason Rosen is founder and CEO of Prism Data, a cash flow underwriting infrastructure and analytics platform. Prior to founding Prism, Jason was co-founder and CEO of Petal, a fintech credit card company. Jason served on the Consumer Advisory Board of the Consumer Financial Protection Bureau, sat on the Small Business Regulatory Enforcement Fairness Act panel for the Open Banking rulemaking, and is a member of the OCC's Project REACh. Jason previously practiced law at Sullivan & Cromwell and Gunderson Dettmer, where he represented financial institutions, technology companies and venture capitalists. Jason holds a JD from Harvard Law School.
Dev Nag is the founder and CEO of QueryPal. He was previously on the founding team at GLMX, one of the largest electronic securities trading platforms in the money markets. He was also CTO and founder at Wavefront (acquired by VMware) and a senior engineer at Google, where he helped develop the back end for all financial processing of Google ad revenue. He previously served as the manager of business operations strategy at PayPal. He also launched eBay's private-label credit line in association with GE Financial. Dev received a dual-degree B.S. in mathematics and B.A. in psychology from Stanford.
Bryan Robertson is a seasoned commercial insurance professional with over 15 years of extensive experience in the industry. As a 5th-generation Central Floridian, he brings a deep connection to the region, understanding the unique challenges and opportunities that businesses face. Throughout his career, Bryan has demonstrated a complex understanding of risk management, coverage negotiations, and client relationship management, helping middle market and larger corporations secure comprehensive insurance solutions tailored to their unique needs. In the fall of 2020, Bryan, along with two partners, acquired Hatcher Insurance.
Under their leadership, the company has experienced significant growth, expanding from a team of 5 to over 30 employees. This rapid expansion reflects their commitment to excellence and their ability to adapt to the evolving needs of the market. Rooted in the rich family heritage of Central Florida business owners, Bryan is committed to contributing to the growth and prosperity of his community through his business.
Bryan is recognized for his leadership and mentorship abilities, having led teams to achieve record industry new business growth. Leading to recognition by the Orlando Business Journals' class of 2022 – Top 40 under 40.
The guidance points out that the pandemic could also pose threats to ethical standards, and accountants may find it challenging with the changing laws and regulations pertaining to COVID-19. They may come under pressure to breach the principles of professional competence, due care and professional behavior. “Those who perform audits of financial statements may face additional challenges as well, including considerations related to auditor independence,” said the document. During the pandemic, accountants also might not have access to the usual resources they have at their offices to ensure competent performance, and they may need to turn to outside specialists to help them perform certain tasks or undertake some engagements.
The publication was developed by the staff of the AICPA under the auspices of a working group formed by the IESBA and national ethics standard setters from Australia, Canada, China, South Africa, the U.K. and the U.S. The working group was chaired by IESBA deputy chair Richard Fleck with the goal of developing implementation support resources to help accountants effectively apply the International Code of Ethics for Professional Accountants (including International Independence Standards) when facing circumstances created by the COVID-19 pandemic. IESBA and IAASB staff also provided their input. The working group plans to develop more COVID-19 guidance in the weeks ahead.
