KARACHI, Dec 4: Institute of Chartered Accountants of Pakistan (ICAP) has issued a press release to clarify the matter relating to rotation of auditors.

The institute stated that the Islamabad Stock Exchange had issued a circular dated November 12, 2003 informing all listed companies that they were required to change their external auditors every five years as per the Code of Corporate Governance.

The circular further stated that the change of auditors was required by those companies whose financial years had ended on September 30, 2003 or were going to end on December 31, 2003.

“The Institute of Chartered Accountants of Pakistan would clarify, under advise to the Islamabad Stock Exchange and the Securities and Exchange Commission of Pakistan (SECP) that the directive of changing of the auditors (rotation of auditors) would not be applicable to those listed companies whose financial year ended on September 30, 2003 if such company has its Annual General Meeting before January 1, 2004, in accordance with the SECP’s notification,” the ICAP statement concluded.