Federal Supreme Court Decision of July 27, 2022 (149 III 422)
The Swiss Federal Court’s decision on July 27, 2022, involved allegations against an audit firm, including non-compliance with regulations and deficiencies in financial operation verifications. The court emphasized the need for regular training to stay updated on legal requirements and best practices. The audit firm had failed to comply with legal standards, particularly regarding audit documentation, highlighting the importance of strict adherence to rules and regulations.
Another critical point in the decision was the deficiencies in verifying financial operations. The audit firm had not conducted sufficiently thorough and detailed audits, calling into question the accuracy and integrity of the audits performed. Auditors must ensure they conduct detailed and comprehensive audits of all financial operations, documenting every step and result meticulously. Transparency and traceability of operations are crucial for maintaining trust in the audit process.
The court also underscored the importance of implementing robust internal control systems. Such systems help ensure the quality and accuracy of audits, reducing the risk of errors and omissions. Auditors need to develop and maintain internal control procedures capable of identifying and mitigating risks associated with financial operations and business practices.
Clear and timely communication with all stakeholders, including the board of directors and regulators, is another essential element highlighted by the decision. Auditors must maintain transparent and ongoing communication to ensure all parties are informed of findings and recommendations. This helps prevent misunderstandings and fosters an environment of trust and collaboration. In summary, the Swiss Federal Court’s decision on July 27, 2022, emphasizes the importance of continuous training, conducting detailed audits, implementing internal controls, and maintaining transparent communication for auditors. Investing in these areas not only reduces the risk of legal liability but also strengthens the integrity and trust in the audit process.
For more details on the decision:
Opening hours
Monday—Friday
08:00 – 12:00
13:30 – 17:00
Information
Social Media
© 2025 Domenghini & Partners Ltd