Document ID: chunk:federal_register_of_legislation:F2025L00107:front:0:p40
Version: federal_register_of_legislation:F2025L00107
Segment Type: other
Provision Reference: 
Character Range: 138863–142902

aggregation process. Such procedures shall include:                  151R. For group sustainability information, the practitioner shall design and perform further procedures to respond to the assessed risks of material misstatement arising from the aggregation process. Such procedures shall include:

       1.       Obtaining, through enquiry of management, an understanding of how management has aggregated the information;                                                                                                                                    1.       Obtaining an understanding of how management has aggregated the information;

       2.       Determining that all entities have been included in the sustainability information as required by the applicable criteria; and                                                                                                                  2.       Determining that all entities have been included in the sustainability information as required by the applicable criteria; and

       3.       Considering whether management's judgements made in the aggregation process give rise to indicators of possible management bias.                                                                                                                3.       Evaluating whether management's judgements made in the aggregation process give rise to indicators of possible management bias.

Documentation

 1.            The practitioner shall include in the engagement documentation:

         1.                 The overall responses in accordance with paragraphs 128L and 128R and the reasons for such responses;

         2.                 The results of the further procedures, including the conclusions where these are not otherwise clear;

         3.                 Identified or suspected fraud or non-compliance with laws and regulations and the procedures performed, the significant professional judgements made, and the conclusions reached thereon; and

         4.                 When applicable, conclusions reached about whether it is appropriate to use evidence about the operating effectiveness of controls obtained in previous engagements.

Accumulation and Consideration of Identified Misstatements

Accumulation of Identified Misstatements

 1.            The practitioner shall accumulate misstatements identified during the engagement, other than those that are clearly trivial. (Ref: Para. A470–A476)

 2.            The practitioner shall: (Ref: Para. A477–A480)

         1.                 Consider whether identified misstatements, either individually or in aggregate, may be due to fraud; and

         2.                 Respond appropriately if there are indicators that there may be material misstatements due to fraud.

Consideration of Identified Misstatements as the Engagement Progresses

 1.            The practitioner shall determine whether the approach to the engagement needs to be revised if: (Ref: Para. A481)

         1.                 The nature of identified misstatements and the circumstances of their occurrence indicate that other misstatements may exist that, when aggregated with misstatements accumulated during the engagement, could be material; or

         2.                 The misstatements accumulated during the engagement may, in the aggregate, result in the sustainability information being materially misstated.

Communicating and Correcting Misstatements

 1.            The practitioner shall communicate to management, on a timely basis, all misstatements accumulated during the assurance engagement, and shall request management to correct those misstatements. (Ref: Para. A482)

 2.            If, at the practitioner's request, management has examined the sustainability information and corrected misstatements that were detected, the practitioner shall perform additional procedures with respect to the work performed by management to determine whether material misstatements remain.

 3.            If management refuses