Factors Affecting on the Disregard of General Assembly towards Inspection Clauses in the Independent Auditor and Inspector Legal Report

Inspection clauses are one part of the independent auditor and statutory auditor's report. The place of the inspection paragraphs following the opinion paragraph is as a report on other statutory auditor duties in the independent auditor and statutory auditor's report. In this section, the inspector mentions cases of noncompliance with the Company Law and the Company Statute. The purpose of this study is to identify factors affecting on the disregard of general assembly towards inspection clauses in the independent auditor and inspector legal report. This research is a descriptive-survey and the data were collected through a questionnaire. The Iranian CPAs and board members of listed companies constitute the statistical population of the study. The population size was 4310 people and the sample size was 352 people that identified using Cochran formula. The results indicate that the commercial laws and regulations, the non-response of the capital market to inspect clauses, the ineffectiveness of inspections, as well as the political and economic conditions, are factors affecting on the disregard of general assembly towards inspection clauses. However, the social and professional restriction is not a determinant factor