Get a plain-English read of Special purpose engagements

Turn the raw legal text into a practical explanation grounded in Banking, Insurance and Life Insurance (prudential standard) determination No. 4 of 2016.

Special purpose engagements

APRA may require a Level 3 Head to appoint an auditor, who may be the existing Appointed Auditor or another auditor (which may be determined by APRA), to provide a report on a particular aspect of the Level 3 group’s operations, prudential reporting, risk management systems or financial position. Such a report will normally only be required following consultation with the Level 3 Head. APRA may, however, require such a report without prior consultation with the Level 3 Head.
The responsibilities of an Appointed Auditor for a special purpose engagement include an obligation to provide limited assurance on the matters upon which the Appointed Auditor is required to report, unless otherwise determined by APRA and advised to the Level 3 Head.
Under the responsibilities of an Appointed Auditor for a special purpose engagement, the auditor’s report must be submitted within three months of the date of the notice commissioning the report, simultaneously to APRA and to the Board (or Board Audit Committee) of the Level 3 Head, unless otherwise determined by APRA and advised to the Level 3 Head (subject to paragraph 23).