Muscat: The Financial Services Authority (FSA), represented by the Professional Conduct Committee, has deregistered Reliance Audit from the register of firms licensed to practise the accounting and auditing profession after finding multiple violations of the law governing the sector.

The decision follows inspections and investigations that found the firm had breached several provisions of the Law Regulating the Accounting and Auditing Profession, promulgated by Royal Decree No. 77/86.

According to the FSA, the firm allowed unlicensed individuals to practise the profession, in violation of Article (1) of the law, which prohibits accounting and auditing activities without a licence issued by the authority.

The regulator also found that the firm had violated Article (19) after audit reports were issued without the signature of the firm’s owner.

In addition, the FSA said the firm failed to satisfy one of the key requirements for registration in the auditors’ register by not meeting the prescribed practical experience requirement in external auditing, in breach of Article (5) of the law. The inspections also revealed a violation of Article (29), as the firm failed to submit its licence renewal application within the legally prescribed period.

The FSA said the decision forms part of its supervisory role in strengthening compliance with legislation governing the accounting and auditing profession and reinforcing adherence to recognised professional standards and best practices. The authority urged all licensed practitioners to comply with applicable laws, regulations and professional standards.

The Professional Conduct Committee is responsible for examining and adjudicating violations committed by licensed accounting and auditing practitioners and issuing decisions in accordance with the provisions of the law.