MORNBFI Vol. 1 - Planters Development Bank

APP. Q-3009.12.31institution’s CEO, CFO, Chief AccountingOfficer (CAO), or comptroller was previouslyemployed by the external auditor andparticipated in any capacity in the audit of thecovered institution during the one-yearpreceding the date of the initiation of the audit;(3) Individual applications as externalauditor of entities under Category A abovemust have established adequate qualityassurance procedures, such consultationpolicies and stringent quality control, toensure full compliance with the accountingand regulatory requirements.b. Specific requirements(1) At the time of application,regardless of the covered institution, theexternal auditor shall have at least five (5)years experience in external audits;(2) The audit experience above refersto experience required as an associate,partner, lead partner, concurring partner orauditor-in-charge; and(3) At the time of application, theapplicant must have the following trackrecord:(a) For Category A, he/she must haveat least five (5) corporate clients with totalassets of at least P50.0 million each.(b) For Category B, he/she must havehad at least three (3) corporate clients withtotal assets of at least P25.0 million each.(c) For Category C, he/she must havehad at least three (3) corporate clients withtotal assets of at least P5.0 million each;2. Auditing firmsa. The auditing firm must be primarilyaccredited by the BOA and the name of thefirm’s applicant partner’s should appear inthe attachment to the certificate ofaccreditation issued by BOA. Additionalpartners of the firm shall be furnished byBOA to the concerned regulatory agencies(e.g. BSP, SEC and IC) as addendum to thefirm’s accreditation by BOA.b. Applicant firms to act as the externalauditor of entities under Category A in Item"B" must have established adequate qualityassurance procedures, such consultationpolicies and stringent quality control, toensure full compliance with the accountingand regulatory requirements.c. At the time of application, theapplicant firm must have at least one (1)signing practitioner or partner who is alreadyselected/accredited, or who is alreadyqualified and is applying for selection byBSP.d. A registered accounting/auditingfirm may engage in any non-auditing servicefor an audit client only if such service isapproved in advance by the client’s auditcommittee. Exemptions from the prohibitionsmay be granted by the Monetary Board on acase-by-case basis to the extent that suchexemption is necessary or appropriate in thepublic interest. Such exemptions are subjectto review by the BSP.e. At the time of application, theapplicant firm must have the following trackrecord:(1) For Category A, the applicant firmmust have had at least twenty (20) corporateclients with total assets of at least P50.0million each;(2) For Category B, the applicant firmmust have had at least five (5) corporateclients with total assets of at least P20.0million each;(3) For Category C, the applicant firmmust have had at least five (5) corporateclients with total assets of at least P5.0million each.F. APPLICATION FOR AND/ORRENEWAL OF THE SELECTION OFINDIVIDUAL EXTERNAL AUDITOR1. The initial application for BSPselection shall be signed by the externalauditor and shall be submitted to theappropriate department of the SES togetherwith the following documents/information:a. Copy of effective and valid BOACertificate of Accreditation with the attachedlist of qualified partner/s of the firm;Manual of Regulations for Non-Bank Financial InstitutionsQ RegulationsAppendix Q-30 - Page 5