The External Auditing and Those Charged with Governance.

The purpose of the present study was to identify the communication extent between external auditors and those charged with governance to restrict management and financial corruption depending on ISA260 and ISA265. To achieve the study objective, 21-item questionnaire was developed that addresses different aspects of an enterprise in terms of financial statement reporting, distortions, internal control efficiency, assignment of responsibilities and strategies, etc. Out of 120 questionnaires sent to audit practitioners (111) questionnaires were received representing response rate of 92.5%. The study concluded that communication is well placed between external auditors and those charged with governance as shown by varied mean scores and such communication restricts managerial and financial corruption on all aspects of an enterprise. Researchers recommend greater concentration on communication and enhance the communication process between external auditors and those charged with governance due to its effect in supporting strengths and avoid weaknesses in the internal control process and reduce distortions related to procedures and processes which in turn reduces managerial and financial corruption.