A Research On Auditing Collusion And Its Governance

Auditing collusion, as the major problem of the auditing theory and practice, the research on it has had a long history. But, people have not known the truth of the auditing collusion under the modern auditing relationship; at the same time, the auditing collusion governance theory didn't have ideal effect in practice. At first, this article summaries the genesis, methods and governance of auditing collusion, and combining with the auditing relationship, especially the modern auditing relationship, it analyzes the characters of the auditing collusion under the modern auditing relationship. Then, this article analyzes the effects, the modern auditing relationship with the auditing collusion, and puts forward the treatment thoughts, correction of the principal as the key point, assists with comprehensive treatment. At last, we establish"the Auditing Entrustment Pattern entrusted by the Auditing Committee under the control of Un-controlling Shareholders", which is abbreviated to AEPUS in this article.The foundation of AEPUS is the key point of this article. This pattern is based on the double principal-agent theory, equity-balance theory and classified voted system. In this part, we illustrate the following sections: how to define the controlling shareholders or un-controlling shareholders, how to choose the auditing committee under the control of un-controlling shareholders (ACUS) as the principal, the payment of related expenses,etc., through which the AEPUS is established.After the foundation of AEPUS,this auditing committee and auditor are influenced by the temptation of bribe and many kind of that issues from controlling shareholders, consequently, my opinion is to establish the prevention system through following methods: Assisted governance measures of the committee and auditor, and strengthen the recognition of auditing collusion, etc.