12-14-2003, 06:24 AM
well adding further to the discussions
first of all there are three real big firms AFF, FRSH and THK. I dunno much abt MYAS with ref to KHI but in lahore atleast this is the situation. They all have like 15-20 partners in Pakistan.
The procedure i presume is that they are working on local clients, plus some MNC which they attain some due to rotation and some due to them being members of Int. firms. but its not like calling the UK partner and telling him to pressurise the local company for their selection as auditor instead of company XYZ. The parent company has to do this and that surely due to the reason if the parent feel like it.
I have a lot of examples where parent's auditors are different than local company's auditors inspite of having a member firm of the parent's auditor in the country.
At times its like the Int firms have there own audit guidelines in addition to local requirements and they feel like there local members would be able to conduct audit more efficiently than other firms.
Acha lets take an eg. PwC's major clients are mostly huge US based Most of them may have no local company in Pakistan, but still AFF in Pakistan is earning....
There may be some influence on the local company to switch over for the local member firms of their parent's auditors but at the end of the day its certainly the quality of audit not firm
One of the benefit for the local firms which are members of Int. firms is
for eg
Mr ABC a partner in abc international calls Mr XYZ partner xyz and Co. Pakistan.
Hey XYZ how r u, i am partner and I have a client EFG Inc USA. This client of mine is looking for investment in Pakistan and is looking for some local company. whats the requirements blah blah ,,,,,,,,,,and lastly "i hope we will be working in future for this project of mine"
Here starts the game.........Mr XYZ and xyz & Co. will earn per there man hours (yet paying no royalty......i need clarity on this)
and they will not be sharing any money with their UK or US office..........
As regard the query if pakistani firms are loosing or not ... well they are not.. really.... they are into mergers... a lot of proposals are running with sole proprieters merging for 4-5 partner firm and many more...(SECP has disallowed using , for a sole proprieter, name of firm like, ABC & Co. Chartered Accountants..... instead word Accountant be used for "Accountants"... so these kinna restrictions may also prove helpful for more mergers) ICAP's past president has for quiet a no. of times appreciated for the firms to merge to become a good business partners and advisors..........
(i am willing for the coments on my post)
Regards
first of all there are three real big firms AFF, FRSH and THK. I dunno much abt MYAS with ref to KHI but in lahore atleast this is the situation. They all have like 15-20 partners in Pakistan.
The procedure i presume is that they are working on local clients, plus some MNC which they attain some due to rotation and some due to them being members of Int. firms. but its not like calling the UK partner and telling him to pressurise the local company for their selection as auditor instead of company XYZ. The parent company has to do this and that surely due to the reason if the parent feel like it.
I have a lot of examples where parent's auditors are different than local company's auditors inspite of having a member firm of the parent's auditor in the country.
At times its like the Int firms have there own audit guidelines in addition to local requirements and they feel like there local members would be able to conduct audit more efficiently than other firms.
Acha lets take an eg. PwC's major clients are mostly huge US based Most of them may have no local company in Pakistan, but still AFF in Pakistan is earning....
There may be some influence on the local company to switch over for the local member firms of their parent's auditors but at the end of the day its certainly the quality of audit not firm
One of the benefit for the local firms which are members of Int. firms is
for eg
Mr ABC a partner in abc international calls Mr XYZ partner xyz and Co. Pakistan.
Hey XYZ how r u, i am partner and I have a client EFG Inc USA. This client of mine is looking for investment in Pakistan and is looking for some local company. whats the requirements blah blah ,,,,,,,,,,and lastly "i hope we will be working in future for this project of mine"
Here starts the game.........Mr XYZ and xyz & Co. will earn per there man hours (yet paying no royalty......i need clarity on this)
and they will not be sharing any money with their UK or US office..........
As regard the query if pakistani firms are loosing or not ... well they are not.. really.... they are into mergers... a lot of proposals are running with sole proprieters merging for 4-5 partner firm and many more...(SECP has disallowed using , for a sole proprieter, name of firm like, ABC & Co. Chartered Accountants..... instead word Accountant be used for "Accountants"... so these kinna restrictions may also prove helpful for more mergers) ICAP's past president has for quiet a no. of times appreciated for the firms to merge to become a good business partners and advisors..........
(i am willing for the coments on my post)
Regards
