The consolidated version of the Government Emergency

Ordinance no. 75/1999 regarding the financial audit activity

Disclaimer: The present material consists of reproductions unofficially updated from acts, it has not been officially
republished and shall not be construed as an official document
CHAPTER I
General provisions
Art. 1. The present Emergency Ordinance shall form the legal framework for organizing the financial audit
activity and regulating the independent exercise of the financial audit profession by persons who have acquired this
quality under the terms provided for by the present Emergency Ordinance.
Art. 2. (1) Financial audit is the activity carried out by financial auditors in view of expressing an opinion
on financial statements or some parts thereof, the exercise of other assurance engagements and professional
services according to the International Auditing Standards and other regulations adopted by the Chamber of
Financial Auditors of Romania, hereinafter referred to as the Chamber.
(2) Financial audit also includes statutory auditing, carried out according to the Law.
Art. 3. - (1) The financial auditor is the natural or legal person having acquired the respective quality under
the terms provided by the present Emergency Ordinance.
(2) Financial auditors, having acquired the respective quality and are members of the Chamber, in the
independent exercise of the profession, shall primarily carry out the following activities:
a) Statutory audit of annual financial statements and annual consolidated financial statements, in the
circumstances provided by the Law;
b) Financial audit of annual financial statements and consolidated financial statements of entities having
chosen to audit their annual financial statements;
c) Review engagements of annual financial statements, consolidated financial statements and interim
financial statements;
d) Assurance engagements and other professional services and engagements in accordance with the
international standards in the field and other regulations adopted by the Chamber;
e) Internal audit.
(3) Financial auditors may carry out other activities, such as:
a) Accounting and financial consultancy;
b) Financial accounting management;
c) Relevant professional training in the field;
d) Accounting expertise, valuation, legal reorganization and liquidation, as well as tax consultancy. Natural
persons, having acquired the financial auditor quality may carry out accounting expertise, legal reorganization and
liquidation, as well as tax consultancy only after having acquired the quality of expert accountant, valuator,
insolvency practitioner or tax consultant, under the Law, as appropriate and becoming registered members of
organisations coordinating the liberal professions in question.
Art. 4. - In the independent exercise of the profession, financial auditors shall be free and perceived as
being free from any constrains that may impair the principles of independence, objectivity and professional
integrity.
CHAPTER II
The establishment, organization and responsibilities of the Chamber of Financial Auditors of Romania
Art. 5. - (1) The Chamber of Financial Auditors of Romania is established as an autonomous legal person,
as provided by the Law, functioning as a public utility non-profit professional organization.
(2) The Chamber is the competent authority organizing, coordinating and authorizing the carrying out of
financial audit activities in Romania.
(3) The Chamber shall issue the following regulations:

a ) the Regulation for organization and functioning of the Chamber, approved by Government
Decision. The Regulation shall contain provisions regarding:
- the governing bodies of the Chamber and the elections procedures;
- the responsibilities and liabilities of the Chamber;
- the rules and conditions for granting, respectively withdrawing the financial auditor quality,
under the Law;
- the requirements regarding professional risk insurance in carrying out financial audit activity;
the rules regarding the investigation of disciplinary misconduct, imposing
disciplinary sanctions and disciplinary procedures, under the Law;
other norms, necessary for carrying out the responsibilities of the Chamber;
b) the Code of Ethics;
c) the Standards on Auditing;
d) The Norms on the development of the professional aptitudes examination;
e) The Norms on the quality control procedures of financial audit;.
f) The Norms on the continuous professional development of financial auditors;
g) The Norms on minimal audit procedures;
h) The Norms on audit documentation;
i) The Norms on the quality assurance system;
j) The Norms on audit reporting.
(4) the Regulations provided in para. (3) letters b)-j) shall be approved by Decisions of the
Council of the Chamber.
(5) the Chamber shall have the following responsibilities:
a) grants the financial auditor quality and issues authorizations for carrying out this profession
within the conditions laid down by the Regulation for organization and functioning;
b) organizes and monitors the continuous development program for financial auditors;
c) controls the financial audit quality;
d) promotes the update of relevant legislation, by means of competent institutions, as well as
norms on financial audit and internal audit, in accordance with the provisions of the Law and with the
regulations of the European and International professional institutions in the field;
e) approves the internal norms regarding the activity of the Chamber;
f) withdraws the right to exercise the financial audit profession, under the terms of the
Regulation for organization and functioning of the Chamber;
g) ensures the international representation of the Romanian financial audit profession;
h) adopts other norms on statutory audit, under the Law;
i) adopts rules, norms and guidelines on the application of the present Emergency Ordinance,
by which compliance with legal provisions of the Law is ensured.
Art. 6. - (1) The Chamber headquarters is in Bucharest, 67-69 Sirenelor Str., District no. 5
(2)The Chamber may establish national and international offices.
(3) The governing bodies of the Chamber are: the Conference, the Council and the Permanent Bureau of
the Council of the Chamber.
(4)The members of the Council of the Chamber shall be elected during the ordinary Conference and shall
serve not more than two mandates. The Council shall elect the Permanent Bureau, for the same period, as well as
persons to hold management positions as stated in the Regulation for organization and functioning.
(5) Repealed
Art. 7. - The members of the Council of the Chamber who, during their term in office, become, by Law
incompatible with this quality, shall require to be suspended from the position held in the Council, during the term of
their incompatibility.
Art. 8. - (1) The Chamber shall include as its members, financial auditors, natural persons, who in terms of
the right to exercise the profession may be either active or non-active and legal persons.
(2) All members of the Chamber, incompatible with exercising the financial audit acitivy, shall be non-active
members. Situations of inccompatibility shall be established by the Regulation for organization and functioning of
the Chamber, under the Law.

(3) Financial auditors, members of the Chamber, are registered in the Public Register in the two categories
mentioned above, active or non-active, based on their statement on own liability.
Art. 9. - The following cannot be active financial auditors for an economic entity or, if appointed by the
General Assembly of that economic entity, shall be released from this position:
a) immediate or close family members up to the fourth degree, including spouses of administrators;
b) persons receiving any type of salary or other remuneration whatsoever, from the audited economic entity or
its administrators, for other positions other than that of active financial auditors;
c) persons who may not hold an administrator position, under the Law;
d) persons who, when carrying out the active financial audit profession, have financial control responsibilities
within the Ministry of Public Finance or other public institutions, except for situations explicitly provided by the Law.
Art. 10 - (1) Trainees in financial audit activity shall be natural persons meeting the requirements established by the
norms approved by the Chamber.
(2) In order to ensure the ability for applying theoretical knowledge in practice, a test of which is included in the
examination, the natural person shall complete a practical training of at least three years, which includes, interalia,
the auditing of annual financial statements or consolidated annual financial statements.
(3) The Chamber may establish, by its own rules, the terms on which exemptions may be granted from the
knowledge examination in the financial accounting field for access to practical training, on reducing seniority
In the financial accounting field, required for access to practical training, as well as from the examination for access
to theoretical knowledge included in the professional competence examination.
CHAPTER III
Granting the financial auditor quality, continuous education and mutual recognition

Art. 11 The conditions and criteria to be met by candidates for obtaining the financial auditor quality shall be
established by the Regulation issued by the Chamber.
Art. 12. The Chamber shall establish the Norms on the approval of Financial Auditors who have been authorized
in other EU Member States, as well as for the registration of third-country financial auditors and audit firms.
Art. 13. - (1) The financial auditor quality is granted based on an examination of professional competence by
means of which the an adequate level of theoretical knowledge, as well as the aptitude to apply such knowledge in
practice, shall be certified.
(2) The examination for granting the financial auditor quality shall be organized by the Chamber, according to the
Regulation for Organization and Functioning of the Chamber. The establishment of any exemptions from the
practical knowledge application examination, within the professional competence exam shall be forbidden.
Art. 131. - (1) Financial auditors must attend appropriate professional training programs in order to maintain their
knowledge and professional competences at a high level. The Chamber shall issu Norms on the obligations of
financial auditors regarding their continuous professional development.
(2) The failure to comply with the continuous professional training requirements shall be sanctioned according to
the regulations issued in this regard.
(3) The Chamber shall adopt the standards for professional ethics and internal quality control of the financial audit
activity.
Art. 132. - (1) The Chamber is the competent authority to carry out reviews in order to ensure the quality of services
provided by financial auditors.
(2) The Chamber shall issue norms and procedures for reviewing the quality of the financial audit activity, as well
as other activities performed by financial auditors, under the Law.

CHAPTER IV
Independent practice of the financial audit profession
Art. 14. - The financial auditor can independently carry out financial audit activity, only if he or she cumulatively
complies with the following conditions:
a) is an active member of the Chamber;
b) fulfills the conditions established by the Chamber in its Regulation for Organization and Functioning.
Art. 15. - (1) A person cannot independetly carry our the financial audit profession independently if he or she is
an employee of the economic entity to be audited, or in case of any relationships with that economic entity or with
any person with whom the respective entity itself has relationships leading to incompatibility or conflict of interests.
(2)For the purposes of the present Emergency Ordinance, incompatibility or onflict of interest shall be
understood as all the situations leading to an impairment of the fundamental requirements for independence in
independently carrying out the financial audit profession.
Art. 16. If during the independent exercise of the financial auditor profession, the conditions for its
exercising are no longer met, the financial auditor shall be required to immediately renounce his or her contract and
to notify the client of its termination, as well as of the reasons for renounciation.
Art.17 REPEALED
CHAPTER V
Independence and professional integrity
Art. 18. The financial audit profession may be exercised only by the persons meeting the conditions of
independence and integrity provided for by the relevant legislation in the field.
.Art.19 REPEALED
CHAPTER VI
Internal audit

Art. 20. (1) Economic entities whose annual financial statements are subject, by law, to financial audit are
required to organize and ensure the internal audit professional activity, according to the legal framework
established by the present Emergency Ordinance.
(2) For autonomous administrations, entities / national companies, as well as for other majority State owned
entities, the internal audit activity shall be organized and shall operate under the legal framework regarding internal
audit for public entities.
Art. 21. - Internal audit is the objective examination activity of the overall activities of the economic entity in order to
provide an independent assessment of its risk management, control and management processes.
Art. 22. - Internal audit aims to:
a) verify compliance of the activities of the audit ed economic entity with its policies, programs and management, in
accordance with the provisions of the Law;
b) assess the adequacy level and the application of disposed financial and non-financial controls and conducted by
the unit management for the purpose of increasing the efficiency of the activity of the economic entity;
c) assess the adequacy of financial and non-financial data / information intended for management for
awcknowledging the reality within the economic entity;
d) protect the patrimonial balance sheet and off-balance sheet items and identify methods to prevent fraud and
losses of any kind.
Art. 23 Those in charge of organizing the internal audit activity, coordinating the works / commitments and signing
internal audit reports shall have the quality of financial auditors.

Art. 24 - In the independent exercise of the financial audit profession, regardless of the legal framework applicable
to the organization and functioning of internal audit within the economic entities referred to in art. 20., financial
auditors shall also carry out the assessment of the internal audit function; this refers to the adequacy of the scope
of related programs implemented, as well as its performance, in order to determine the extent to which auditors can
rely on internal audit findings in their work.
Art. 25. The hamber shall develop norms on internal auditing in line with the international norms in the field.

CHAPTER VII
Public oversight
Art. 26. The activity of the Chamber shall be conducted under the supervision of the Council for the Public
Interest Oversight of the Statutory Audit Activity, according to the Law.
Art. 27. REPEALED
Art. 28. REPEALED
Art. 29. For economic entities whose financial statements are required to be audited, as well as for entities that
choose to audit their financial statements, the audit shall be carried out under the present Emergency Ordinance
and the legislation in force
Art. 30. - The Ministry of Public Finances shall establish and submits for adoption the draft laws regulating the
organization and functioning of the Chamber, in consultation with the Chamber and with the Council for the Public
Oversight of the Statutory Audit Activity.

CHAPTER VIII
Public Register
Art. 31. (1) All financial auditors, active and non-active, shall be registered in the Public Register
(2) The Public Register shall be published annually in the Official Journal of Romania, Part I.
(3) The changes in the Public Register shall be quarterly published in the Official Journal of Romania, Part I.
CHAPTER IX
Investigations and sanctions
Art. 32. The violation of the provisions in the present Emergency Ordinance, as well as of the regulations
issued by the Chamber shall draw, where appropriate, administrative or disciplinary liability.
Art. 32.1 The deviations for which sanctions are applied, the procedure for findings and sanctioning
thereof, and the liability of the financial auditor shall be determined by norms issued by the Chamber.
Art. 33. - REPEALED
CHAPTER X
REPEALED
CHAPTER XI
Final provisions
Art. 38. REPEALED
Art. 39. - (1) At the effective date of the present Emergency Ordinance, the provisions of art. 6 letter c),
referring to financial accounting audit, from Government Ordinance no. 65/1994 regarding the activities of

accounting expertise and licensed accountants, published in the Official Journal of Romania, Part 1, no. 243/30
Aug 1994, approved by Law no. 42/1995 with subsequent amendments shall be repealed.
(2) Repealed
Art. 40. - The decisions of the Conference of the Chamber, the Council of the Chamber, as well as the
legislation regulating the organization and functioning of the Chamber of Financial Auditors of Romania shall be
published in the Official Journal of Romania, Part I.
NOTE:
We replicate bellow the text of Article II of Government Emergency Ordinance no. 67/2002, as it was
modified by Law no. 12/2003, which was not included in the republished version:
"Art. II - The persons responsible for organizing the internal audit activity who, at the effective date of the
present ordinance, do not have the financial auditor quality, may continue to perform these tasks, for a maximum of
4 years, during which they may obtain the financial auditor quality, according to the law.