Companies Act 2014 section 941A

Application to court to confirm decision to impose relevant sanction

Section 941A requires the Irish Auditing and Accounting Supervisory Authority (IAASA) to apply to the High Court for confirmation before certain serious sanctions against auditors or audit firms can take effect.

• When IAASA decides to impose a "relevant sanction" on a statutory auditor, audit firm, or third-country auditor, it must apply to the High Court for confirmation of that decision before the sanction can be enforced.
• A "relevant sanction" includes withdrawal of approval to act as an auditor, a prohibition on acting as a statutory auditor or signing audit reports, and a temporary ban on a member of an audit firm from holding a management role in an audit firm.
• The High Court will confirm the sanction only if it is satisfied that IAASA's decision was properly made, proportionate, and in accordance with fair procedures; the court may confirm, vary, or set aside the sanction.
• Until the court confirms the sanction, the decision does not take effect and cannot be enforced, ensuring that the most serious disciplinary measures are subject to independent judicial oversight.

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