COA gives SEC unqualified opinion

THE Securities and Exchange Commission (SEC) has received an unmodified opinion from the Commission on Audit for the fourth consecutive year.

In an independent auditor’s report dated May 31, State Auditor Concepcion C. Reyes rendered an “unmodified opinion,” also known as an “unqualified opinion,” on the fairness of the presentation of the SEC’s  2021 financial statements.

“In our opinion, the accompanying financial statements present fairly, in all material respects, the financial position of the SEC as at December 31, 2021, and its financial performance, changes in net assets/equity, cash flows, comparison of budget and actual amounts for the year then ended, and notes to financial statements, in accordance with the International Public Sector Accounting Standards,” the report said.

The audit was conducted in accordance with the International Standards of Supreme Audit Institutions, and in order to ascertain the level of assurance that may be placed on the management’s assertion on the financial statements; determine the propriety of transactions; recommend improvement opportunities; and determine the extent of the implementation of prior years’ audit recommendations.

An unqualified or unmodified opinion is given when auditors conclude that the financial statements as a whole are free from material misstatements, which could arise from either error or fraud, according to the IPSAS.

The SEC also received an unqualified opinion on the fairness of presentation of its financial statements for 2018, 2019, and 2020, making this the longest streak of unqualified opinions the SEC has received over the past decade.

“We take pride in the 4-year streak of unqualified opinions we have obtained from COA, which serves as a concrete proof of our adherence to transparency, accountability, and good governance,” SEC Chairperson Emilio B. Aquino said.

“This testament to the honest, sound, and prudent use of public funds, is especially important for the SEC, which is mandated to oversee the country’s corporate sector and should thereby serve as a model for the highest standards of transparency and accountability in the industry,” Aquino added.