PA 304 COMPANY LAW

CASE STUDY

DEFINITION OF AUDITOR
Every company, around the world should appoint auditors. An auditor is an individual who is
appointed and authorized to validate the accuracy and precision of a financial records and
bookkeeping practices of a business. A good audit will be able to clear the flaws in financial
affairs. An auditor examines accounts and accounting records by comparing charges with
vouchers, verifying balance sheet and interest.

REQUIREMENT

Auditor
An authorized auditor in Malaysia should be a member of Malaysian Institute of
Accountants(MIA) and he or she must be certified by the Ministry of Finance to practice
auditing in Malaysia. Audit license are granted to auditors for a period of two years and it is
renewable.
Company auditors
Here is the eligibility criterion to become approved company auditors.
1. Is a member of MIA and has been a member of MIA for a year.
2. Possess a valid Practicing Certificate issued by MIA.
3. Had 5 years working experience in audit practice in public accounting firm.
At least 3 years in audit work.
At least 1 year should be an audit supervisory role.

 Candidates, who have left audit practice for more than 3 years, must work at least
a year in audit in Malaysian environment.
Candidates who left audit practice, but still within a 3 year period prior to
application are still eligible to apply.
Candidates are required to attend the Public Practice Programme organized by the
MIA.

Liquidator Licensing Requirements

Applicant for liquidator approval must be from an authorized audit holder with valid Practicing
Certificate.
The person must obtain audit approval for at least 1 year and must have 2 years in
liquidation experience prior to application.