Saint-Petersburg
Nevskiy prt, b.104
Liter A, office 9-H
812
448-24-76
Leningradskaya obl.
Sosnoviy Bor
Parkovaya str., b.46
813-69
2-60-05
2-64-62
2-28-80

Activity report of ASB AUDIT COMPANY 2016

/ / Activity report 2016

1. Information about audit organization

Company name: Closed Joint Stock Сompany «AUDITOR FIRM «ASB» Co» (CJSC «ASB AUDIT COMPANY»)

State registration: Company was registered by the Decision of the Registration Chamber of St. Petersburg No. 31520 dated December 28, 1995, the entry in the book of registration No. 22462 was made. It was entered in the Unified State Register of Legal Entities for the main state registration number 1027812403024.

TIN/RRC 7827005336/784101001

Registered address: office 9-H, litera A, building 104, Nevsky pr., St. Petersburg, 191025

Membership in a self-regulatory auditing organization:

From December 21, 2009 to November 28, 2016 ASB AUDIT COMPANY was a member of the self-regulatory organization Non-profit partnership "Audit Chamber of Russia" (PRNE 10201001365). Due to the change in the current legislation in the Russian Federation from November 30, 2016 (to the present)it  is a member of the Self-regulatory organization of auditors Association "Sodruzhestvo" (PRNE 11606064221).

Owners (shareholders) CJSC «ASB AUDIT COMPANY»  

Natalya Ershova Mikhailovna

 

Data on the residence: the Russian Federation

Ownership interest: 51%

Attitude to the audit: the auditor (PRNE 21606084540)

Dvorsky Igor Evgenevich

Data on the residence: the Russian Federation

Ownership interest: 49%

Attitude to audit: no

 

2. Information about the membership of CJSC «ASB AUDIT COMPANY»   in the international network Russell Bedford International

CJSC «ASB AUDIT COMPANY» is the first member of Russell Bedford International - an international network of independent firms, accountants, auditors, tax and business consultants - in St. Petersburg. The Russell Bedford network, which occupies an important place among the world's leading accounting and auditing networks, has about 600 partners, 5,000 employees and 290 offices in more than 100 countries in Europe, North and South America, the Middle East, Africa and the Asia-Pacific region. Membership in Russell Bedford provides the opportunity to use the information, technological and methodological resources of one of the largest professional associations, attract highly qualified professionals from foreign member firms and guarantee international quality standards.

Contacts of Russell Bedford international network:

3rd Floor, Paternoster House

65 St Paul’s Churchyard

London EC4M 8AB

T: +44 (0) 20 7410 0339

 E: info@russellbedford.com

 W: www.russellbedford.com

 

3. Corporate governance

The highest governance body is the general meeting of shareholders, the sole executive body is the general director elected for a period of five years. The structure of the Company is linear-functional. At the head of the company stands the CEO, who manages the current activities of the company. The company has the following departments: audit, legal, internal control, accounting, general. Heads of the departments are linearly subordinate to the CEO. The employees obey to their line manager – the head of the department. Linear-functional organizational structure provides minimum expenses and cost of services.

 

4. Internal control system

The most important goal of the company's activity is to achieve the high quality performance of all audit engagements. The quality control monitoring of audit services is carried out at all stages of the assignment.

The management declares about the effectiveness of the  internal quality control system, the responsibility for the development, implementation, monitoring and enforcement on a regular basis the rules and procedures for ensuring the quality of audit, audit-related services based on the principles of independence and professional ethics of auditors.

The main purpose of the quality control system is to ensure the provision of audit services in accordance with the Federal Law “About audit activities”, federal standards for auditing, international standards of auditing and the requirements of regulatory legal acts, as well as compliance with audit secrets, commercial and tax secrets of clients, non-disclosure of personal data and other classified information.

 

5. Date of the last external quality control of  CJSC «ASB AUDIT COMPANY»

Audit Control Commission SRO NP "Audit Chamber of Russia" issued the Conclusion on the quality control review results of audit activities and compliance with professional ethics № 221 dated December 18, 2014.

The Department of the Federal Treasury for St. Petersburg, based on the results of an external quality control review of CJSC «ASB AUDIT COMPANY», issued document

No. 20 dated October 11, 2016.

 

6. In 2016 CJSC «ASB AUDIT COMPANY» conducted compulsory audit for 2015 of organizations in conformity with Part 3 Article 5 of the Federal Law “About audit activities”

JSC "Saint Petersburg Electric Networks" (PSRN 1027810338984)

OJSC "Saint Petersburg Affordable Housing Center" (PSRN 1117847632682)

 

7. Management's of CJSC «ASB AUDIT COMPANY»  statement on measures taken by an audit organization to ensure its independence

Measures taken by CJSC «ASB AUDIT COMPANY» to ensure its independence are based on the following provisions:

- Article 8 "Independence of audit organizations, auditors" of the Federal Law "About audit activities";

- Rules for the independence of auditors and audit organizations of SRO of auditors Association "Sodruzhestvo" (Protocol No. 225 of July 22, 2016);

- Code of professional ethics of auditors (approved by the decision of SRO of auditors Association "Sodruzhestvo" (Protocol No. 167 dated March 13, 2015);

- Federal rules (standards) of audit activity No. 34 "Internal quality control of work" and No. 7 "Quality control of audit tasks".

All executives and employees of CJSC «ASB AUDIT COMPANY» are obliged to know, understand and fulfill the requirements and restrictions defined by the above-mentioned documents, and also strictly follow the established procedures aimed to observing the principle of independence.

Internal audits of compliance with conditions of auditors and audit organizations independence are conducted when the client accepts the service, continues to cooperate with existing clients, during the performance of audit tasks, quality control of the audit services provided, monitoring of completed audit assignments, and by receiving employees' statements on compliance with the rules of independence.

 

8. Management's  of  CJSC «ASB AUDIT COMPANY» statement on annual training of auditors

Auditors of  CJSC «ASB AUDIT COMPANY»  in 2016 fulfilled the requirements of Part 9 Article 11 of the Federal Law "About audit activities" on the annual training program for professional development in the amount of 40 hours for each auditor.

 

9. Information about management’s reward system accepted in audit organization  (including main factors which influence on rate of remuneration)

Monetary incentives for employees of CJSC «ASB AUDIT COMPANY» are carried out in accordance with concluded labor contracts. The accepted remuneration system includes official salaries and premiums for efforts at quality. A special reward system for management  (heads of audit groups) is not applied.

 

10. Rotation of senior staff in audit teams

Rotation of staff in the audit team is ensured by the periodic replacement of audit group heads and quality controllers of the audited entity.

Mandatory rotation at different levels of audit team is carried out at least once every seven years.

 

11. Information on revenue of CJSC «ASB AUDIT COMPANY» for 2016
(in thousand rubles)

Scope of services (without VAT and similar obligatory payment) - total: 25 415,7

including:

Audit of accounting (financial) reporting – 12 364,2

including:

statutory audit – 12 306,9

including:
organizations mentioned by Part 3 of Article 5 of the Federal Law " About audit activities "- 360,0;
other organizations – 11 946,9

voluntary audit – 57,3

Other audit-related services – 13  051,5