Companies Act 2014 section 1563

Counterpart authority may be requested to carry out investigation

Section 1563 deals with the ability of the Supervisory Authority or a recognised accountancy body to request that a counterpart authority in another EU Member State carry out an investigation into suspected breaches of EU audit rules.

• Where activities are suspected of breaching the EU Audit Directive or EU Regulation No 537/2014, the Supervisory Authority or a recognised accountancy body may ask the equivalent authority in another Member State to investigate within that state's territory.
• The request may include a further request for officers or staff of the Supervisory Authority or recognised accountancy body to accompany the counterpart authority's personnel during the investigation.
• A recognised accountancy body must notify the Supervisory Authority whenever it makes such a request, including any accompanying request to have its staff join the investigation.
• This cross-border cooperation mechanism supports consistent enforcement of audit standards across EU Member States.