THE seminar on 'Reforming
governance in the non-profit sector' on Nov 2 by the
Corporate Governance and Financial Reporting Centre
reiterated the difficulty in getting external auditors
to price their audit fees with a heart.
They behave like insurers and bankers in rejecting
'high risk' clients. Certainly, it is tough for the
external auditors to do the balancing act between risks
and rewards in the audit of charities. Hence charities
will face difficulty in the appointment of external
auditors at an affordable fee. As every charity dollar
counts, it will be helpful if the National Council on
Social Service can subsidise the needy charities to pay
for the increase in audit fee.