Goltsblat BLP advises that Federal Law No. 400-FZ of 28 December 2010 “On Amendment to Article 5 of the Federal Law ‘On Auditing’” came into effect on 1 January 2011.
The Federal Law makes a statutory audit mandatory if:
a business is incorporated as an open joint-stock company;
company securities are admitted for trading on stock exchanges and/or other trade organisers;
a company is a credit institution, credit reference agency, professional stock market participant, insurance company, clearing company, mutual insurance company, commodity, currency or stock exchange, non-governmental pension or other fund, joint-stock investment fund, management company of a joint-stock investment fund, mutual investment fund or non-governmental pension fund (other than government extra-budgetary funds);
the sales proceeds from products (goods, work, services) of a given undertaking (other than government authorities, local government authorities, national and municipal institutions, national and municipal unitary enterprises, agricultural cooperatives and their unions) for the previous reporting period exceed RUB 400 million or the value of the assets on its balance sheet exceeds RUB 60 million at the end of the previous reporting period;
an undertaking (other than government authorities, local government authorities, a national extra-budgetary fund or national and municipal institutions) presents and/or publishes its consolidated accounting (financial) statements;
in other cases prescribed by federal laws (for example, national and municipal unitary enterprises audited by decision of the owner of their property, self-regulating organisations).
These requirements apply to the auditing of the accounting (financial) statements for 2010.
For additional information, please contact:
Anton Sitnikov, Partner, Head of Corporate / M&A, Goltsblat BLP,
Tel..: +7 (495) 287 44 44,
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