IFAC members and associates have provided self-assessment information about the regulatory and standard-setting framework in their countries (Part 1) and their organizations' activities in addressing IFAC's membership requirements (Part 2) as described in the Statements of Membership Obligations. Based on an analysis of this information, they are developing SMO Action Plans for continuous development and improvement.

Some organizations have qualified to submit SMO Action Plans on a biennial basis by meeting eligibility criteria. These organizations are indicated with an asterisk (*).

In the interest of transparency and providing information to the profession, regulators, and other stakeholders, all responses and SMO Action Plans are accessible below.

The Institute of Professional Accountants of Russia

Introduction

The information below has been submitted as part of the IFAC Member Body Compliance program. The Program has two components:

Part 1:	Assessment of the Regulatory and Standard-Setting Framework (provides information about regulatory requirements and standard-setting processes in member body countries); and
Part 2:	Assessment of Compliance (provides information on compliance by member bodies with the Statements of Membership Obligations). Part 2 of the Compliance Program will begin later this year, and the results will also be posted to the website.

The responses to Part 1 are provided below. IFAC staff has reviewed the responses and, where necessary, validated them with external knowledgeable parties. A list of key terms is available to assist readers in understanding the responses.

The purpose of this Part 1 Assessment is to collect information on the roles of IFAC member bodies and other organizations (including government, regulatory or other appointed authorities) with respect to:

Setting auditing, accounting, ethics, public sector and education standards; and
Regulating the accountancy profession.

Sections 1 and 2 of Part 1 contain an introduction and instructions for member body respondents. For this reason, they are not included here, and the responses begin with Section 3.

Questions or comments may be sent to complianceassessment@ifac.org.

Section 3 -- Member Body General Information

1. Country:

Russia

2. Name of member body:

The Institute of Professional Accountants of Russia

Or please specify name:

3. Individual responsible for preparation:

Oleg M.Ostrovsky, General Director of IPAR

4. Date member body became a member of IFAC:

Note: Please enter a numeric date (e.g., 12/2001, Month/Year)

11 / 2001

Questions 5 - 22 are for internal use only

Section 3G -- Affiliations

23. Please list those regional organizations to which your organization belongs (e.g., FEE, CAPA, ECSAFA, IAA, etc.):

- Eurasian Council of Certified Accountants and Auditors(ECCAA)

Section 4 -- Statutory Framework

Responses to this section will provide a description of the legal framework governing the commercial aspects of auditing and financial reporting in your country.

Section 4A -- The Companies Act or Commercial Code

The following questions concern the Companies Act (the Act) or Commercial Code (the Code) or similar Legal authority in your country. If no Legal authority exists, or the Legal authority does not address particular questions, please indicate "N/A" for Not Applicable.

24. What is the full name of:

a). the Act or the Code:		Civil Code of Russian Federation
b). the Enacting body:		State Duma of Federal Assembley of Russian Federation
c). date the Act or Code came into force:		12 / 2001

25. How can IFAC obtain a copy of the Act or Code?

We can send it by e-mail.

26. Is the Act or Code available in English?

Yes

27. What are the types of entities covered by the Act or the Code?

Please check all that apply.

	Listed entities					Other (please specify):
	Private companies					Other (please specify):
	Governmental					Other (please specify):
	Not-for-profit					Other (please specify):

28. Is there a requirement for the following entities to prepare annual statutory financial statements? If YES, please describe the financial reporting requirements including the accounting standards to be followed.

Please check all that apply.

	No	Yes	(If YES, please describe)
Listed entities			Federal Law �On the Accounting� (revised version),
Private companies			As above
Governmental			As above
Not-for-profit			As above
Other (please describe)
Other (please describe)

29. Is there a statutory requirement for the following entities to be audited? If YES, describe the requirement including the auditing standards to be followed:

Please check all that apply.

	No	Yes	(If YES, please describe)
Listed entities			2. Federal Law �On the Audit Activity� (revised version),
Private companies			As above
Governmental			As above
Not-for-profit			As above
Other (please describe)			All entites with annual turnover more than 500.000min salary rate (about 1,7 mln$) or amount of assets more than 200.000 min salary rate (about 0,7 mln. $)
Other (please describe)			credit agencies, insurance companies, stock exchanges, investment funds, government non-budget funds Plus all Open Stock Companies

30. Are the auditors ("statutory auditors") that are appointed for audits required by the Act or Code ("statutory audits") appointed for a specific period?

Yes

If YES, please indicate the term of appointment:

Year(s)

31. Who appoints the statutory auditors?

Please check all that apply.

	Shareholders					Management
	Board of directors					Other (please specify): Shareholders appoint the statutory auditors for Joint Stock Companies
	Audit committee					Other (please specify): for other types of entities - according to their Chart
	Government agency					Other (please specify):

32. Does the Act or Code require joint auditors for the statutory audit?

Yes

If yes, please describe the requirement:

33. Does the Act or Code require the rotation of the auditors or audit firms performing statutory audits?

Yes

If yes, please describe the requirement:

Section 4B -- Securities Market Regulations

Responses to this section will provide a description of the financial reporting and auditing requirements for listed entities in your country.

34. What are (a) the major items of Legal authority for such requirements, (b) the Enacting body(ies) and (c) the latest amendment date? Please identify the specific articles or sections that pertain to auditing and financial reporting:

the major items of Legal authority for such requirements

- Federal Laws: �On the Securities Market� (adopted 1996, last amended 2004) � articles 22, 23, 30, 42(4). �On the Audit Activities� (adopted 2001, last amended 2002) articles 1-12, �On the Defense of Investors� Rights and Legitimate Interests in the Securities Market� (adopted 1999, last amended 2004) �article 5 (4), �On the Stockholder�s Companies� (adopted 1995, last amended 2004) � articles 86, 88-93, �On the Accounting� (adopted 1996, last amended 2003).

- Regulations by the Securities Commission: �On the Requirements to the Organizers of Trade� (adopted 2004), �On the Information Disclosure by the Securities Issuers� (adopted 2003).

- Accounting Regulations by the Ministry of Finance

- Audit Standards by the Ministry of Finance
the Enacting body(ies)

Federal Commission on the Securities Market (laws on the securities market and on the defense of the investors� rights), the Ministry of Finance of Russian Federation (laws on the audit activities and on the accounting)
the latest amendment date?

Please see the answer point a.

35. How can IFAC obtain a copy of the Legal authority?

We can send it by e-mail.

36. Is the Legal authority available in English?

Yes

37. Are there any additional or alternative financial statement reporting requirements for listed entities that are not described in your answer to Question 28?

Yes

If YES, please describe the requirement:

38. Are there any additional auditing requirements that apply to listed entities other than those described in your answer to Question 29 (e.g., additional GAAS requirements, additional independence requirements, requirements to report to those charged with governance, etc.)?

Yes

If YES, please describe the requirement:

39. Who appoints the statutory auditors of listed entities?

Please check all that apply.

	Shareholders			Management
	Board of directors			Other (please specify):
	Audit committee			Other (please specify):
	Government agency			Other (please specify):

40. Are auditors who perform audits of listed entities appointed for a specified period?

Yes

If YES, please indicate the term of appointment:

Year(s)

41. Are joint auditors required for audits of listed entities?

Yes

If YES, please describe the requirement:

Question 40. Depends on the decision of the sharehoders' meeting.

42. Is rotation of the auditor or audit firm for audits of listed entities required?

Yes

If YES, please describe the requirement:

The rotation may be required by a company�s Code of Corporate Conduct which is recommended by the Securities Commission to be developed and adopted by listed companies, but it is not required by a law.

Section 5 -- Auditing Standards

Responses to this section will provide a description of the legal and professional framework governing audit and other assurance standards in your country. The section focuses on the establishment of such standards. Please indicate the role your organization plays within this framework.

Section 5A -- Statutory Framework

43. Please provide the name of the Legal authority and/or self-regulatory rules that establish audit and other assurance standards in your country, the date of the last amendment of such authority or rules and the name of body responsible for setting audit and other assurance standards. If the standards are different for different entities (e.g., listed entities, private companies, governmental bodies, not-for-profit organizations, etc.), please specify the details that apply to each:

Type of entity	Name of applicable legal authority	Date of last amendment (e.g. MM/YYYY 06/2001)	Name of body responsible for setting audit and other assurance standards
Listed entity	Audit Standards	07/2003	Ministry of Finance
Other (please describe) All types of entites	Audit Standards	07/2003	Ministry of Finance
Other (please describe)
Other (please describe)

We can send them by e-mail.

Yes

Section 5B -- Standard-Setting (Ministry of Finance)

44. For Ministry of Finance, please indicate the nature of the body (i.e., whether it is part of a government ministry or department, an agency appointed by government, a private organization established by the profession, or other [please describe]) and the name of the standards.

Ministry of Finance of Russian Federation is the Government Agency.

Audit Standards

45. How many voting members does the standard-setting body have?

N/a

46. Are the members of the standard-setting body involved on a voluntary basis or employed by the standard-setting body?

	Voluntary
	Employed
	Both - Please describe:		N/a

47. What are the criteria considered in selecting members of the standard-setting body (e.g., best person for the job, sector of the profession, private and public members, academic, geographical representation, etc.)?

N/a

48. Who appoints these members (e.g., member body, government, user, regulator, etc.)?

N/a

49. What is the term of appointment for members?

Year(s)

50. For how many years has the standard-setting body been in existence?

Year(s)

51. Please indicate the budget in US$ of the standard-setting body for the last fiscal year:

Note: Please enter a whole number using commas (e.g., 4,000,000)

N/a

Please enter the exchange rate used to calculate this number.

Note: Please enter a decimal amount (e.g., 4.0027)

52. To what entity is the standard-setting body accountable?

N/a

53. Describe the due process followed by the standard-setting body. Please include explanations of the following:

public exposure of standards

The development of Audit Standards is carried out by Ministry of Finance. The drafts are discussed with auditors and users of financial information.
accessibility of meetings (i.e., public or private)
approval process for final standards (i.e., majority required to approve final standards)
other relevant due process activities

54. Approximately how many days per year does the standard-setting body meet in full session (including teleconferences)?

Day(s)

Section 6 -- Ethics

Responses to questions in this section will provide a description of the legal and professional framework governing ethics standards for accountants in your country. This section focuses on the establishment of such standards. Please indicate the role your organization plays within this framework.

Section 6A -- Statutory Framework

55. For each of the following types of professionals, please indicate the name of the Legal authority and/or self-regulatory rules establishing ethics standards for accountants and auditors in your country, the date of the last amendment of such authority or rules and the name of body responsible for setting the ethics standards.

Type of professional covered	Name of applicable legal authority	Date of last amendment (e.g. MM/YYYY 06/2001)	Name of body responsible for setting ethics standards
Professional Accountants in Public Practice
Professional Accountants in Business
Professional Accountants in the Public Sector
Other (please describe) IPAR members	Code of ethics	01/2004	President Council of IPAR

We can send it by e-mail

Yes

Section 6B -- Standard-Setting (President Council of IPAR)

56. For President Council of IPAR, please indicate the nature of the body (i.e., whether it is part of a government ministry or department, an agency appointed by government, a private organization established by the profession, or other [please describe]) and the name of the standards.

IPAR's supreme governing body is the General Assembley of Members. Its functions are within the jurisdiction of the Presidential Council during the period between general assebleies.

Code of ethics for the members of IPAR

57. How many voting members does the standard-setting body have?

58. Are the members of the standard-setting body involved on a voluntary basis or employed by the standard-setting body?

	Voluntary
	Employed
	Both - Please describe:

59. What are the criteria considered in selecting members of the standard-setting body (e.g., best person for the job, sector of the profession, private and public members, academic, geographical representation, etc.)?

- best person for the job
- sector of the profession
- academic
- geographical representation

60. Who appoints these members (e.g., member body, government, user, regulator, etc.)?

member body

61. What is the term of appointment for members?

Year(s)

62. For how many years has the standard-setting body been in existence?

3 Year(s)

63. Please indicate the budget in US$ of the standard-setting body for the last fiscal year:

Note: Please enter a whole number using commas (e.g., 4,000,000)

44,749

Please enter the exchange rate used to calculate this number.

Note: Please enter a decimal amount (e.g., 4.0027)

30.0

64. To what entity is the standard-setting body accountable?

General Assembley of the IPAR members

65. Describe the due process followed by the standard-setting body. Please include explanations of the following:

public exposure of standards

It is a standard practice.
accessibility of meetings (i.e., public or private)

Meetings are public
approval process for final standards (i.e., majority required to approve final standards)

Majority is required for approval the final standards
other relevant due process activities

examination in the other professional associations

66. Approximately how many days per year does the standard-setting body meet in full session (including teleconferences)?

12 Day(s)

Section 7 -- Education

Responses to questions in this section will provide a description of how education requirements for the profession are established. Please indicate the role your organization plays within this process.

Section 7A -- Education Requirements

67. Please describe in general terms the education system in your country including the different stages of education from early childhood education through to tertiary level study. Please indicate which aspects / levels are compulsory as part of the national education system:

Two compulsory levels: elementary school (starts from 6 years old) lasts 4 years, middle (secondary)school lasts 7 years. After that they may go to special professional colleges (secondary professional education) or to higher school (institutes, universities, and academies). Duration of training in higher school is 4 or 5 or 6 years. This level is not compulsory for all professions. University diploma isn�t compulsory for accounting technicians.

68. Is there a legal authority or regulation that specifies the requirements for an individual to operate as an accountant or auditor in your country?

Yes

- Qualification requirements of Ministry of Labour for accountants, adopted 10/1995;
- Federal Law "On the Audit Activities", adopted 2001, last amended 2002.

69. Please select from below all the relevant key levels of requirements to obtain certification from your member body (i.e. to qualify as a certified or chartered accountant) and provide a general description of the requirement.

	Academic requirements University diploma
	Professional examinations
	Practical experience Tree years as a chief (deputy) accountant or auditor
	Final qualifying examination test
	Other (please describe) Training Program (240 hours)

70. Which of the following arrangements best describes who establishes the education requirements for the accounting profession in your country? Please select one option.

	A government ministry, department or agency establishes education requirements for the accounting profession with no additional requirements set by the member body(ies).
	A government ministry, department or agency establishes minimum education requirements for the accounting profession, and member body(ies) supplement these requirements.
	Member body(ies) establishes the education requirements for the accounting profession.
	Other (please describe) additional requirements for IPAR members

71. Please provide the name(s) of the relevant body in the government ministry, department, agency and / or member body who establishes the education requirements.

A general description of the role of the relevant body(ies) including how it operates and its due process in establishing the education requirements.
N/a
How many voting members does the relevant body(ies) have
N/a
Are the members of the relevant body(ies) involved on a voluntary basis or employed by the standard-setting body?

Voluntary

Employed

Both - Please describe: N/a
For how many years has the body been in existence?

Year(s)

72. How would you describe the authority that the education requirements have?

	Requirements are legally-based
	Requirements are set in the constitution, by-laws or other rules of the relevant body(ies).
	Requirements are set in member body(ies) policy document(s).
	Other (please describe)

72 a. How can IFAC obtain copies of these documents?

We can send them by e-mail

72 b. Are these documents available in English?

Yes

73. Are the education requirements for accountants and auditors the same throughout your country, or do they differ among regions, provinces or states?

Same

Different

If different, please briefly describe the main differences:

74. Please indicate the scenario that best describes who delivers the education and examination process for members of the profession. Please only select one option.

	The education program and final examination are delivered by the member body.
	The education program and final examination are delivered by the member body and other education institutions (e.g., universities, colleges, and others).
	The education program and final examination are delivered by education institutions (e.g., universities, colleges, and others).
	Other (please explain) Additional requirements for IPAR members

75. Once qualified as a member of your professional body, can members offer their services directly to the public?

Yes

Section 7B -- Licensing

76. Are there licensing requirements for auditors in your country?

Yes (continue with Question 77)

No (proceed to Section 8)

77. Who sets the requirements to obtain a license?

Federal Law

78. What are the requirements to obtain a license (please select all relevant requirements.)?

	Academic study specific for obtaining a license
	Practical experience
	Licensing examination
	Final qualifying examination
	Other (please describe) plus special training course. These are requirements for aditors-natural persons. Requirements to obtain a license as audit entity include 1.form of entity, 2.the qouta of non-residents of the owners, 3. not less then 5 certified auditors.

79. Are there ongoing requirements to retain a license?

Yes

	Continuing professional development
	Re-examination
	Other (please specify): audit practice. For audit entity: observance of standards, number of auditors, report to the Ministry of Finance of Russian Federation

80. What entity grants the license?

Ministry of Finance of Russian Federation

81. Describe any additional licensing requirements for auditors of listed entities (e.g., additional education requirements, registration, etc.).

No additional licensing requirements

Section 8 -- Public Sector Accounting Standards

Responses to this section will provide a description of the legal and professional framework governing public sector accounting standards in your country. The section focuses on the establishment of such standards. Please indicate, where appropriate, the role of your organization within this framework.

Section 8A -- Statutory Framework

82. Please provide the name of the Legal authority and/or self-regulatory rules establishing public sector accounting standards in your country, the date of last amendment and the name of the body responsible for setting public sector accounting standards. If the standards are different for different entities (e.g., whole of government, ministry/department, statutory authority/agency, profit entity owned by government, state governments, local governments, other [please specify]), please specify the details that apply to each.

Type of entity	Name of legal authority	Date of last amendment (e.g. MM/YYYY 06/2001)	Name of body responsible for setting public sector accounting standards
Whole of government	Accounting rules	02/1999	Ministry of Finance
Ministry/department	Accounting rules	06/2001	Ministry of Finance
Statutory authority/agency
Profit entity owned by government
State governments	Accounting rules	02/1999	Ministry of Finance
Local governments	Accounting rules	02/1999	Ministry of Finance
Other (please describe) not for profit entities receiving funds from government budget		06/2001	Ministry of Finance
Other (please describe)

We can send them by e-mail.

Yes

Section 8B -- Standard-Setting (Ministry of Finance)

83. For Ministry of Finance, please indicate the nature of the body (i.e., whether it is part of a government ministry or department, an agency appointed by government, a private organization established by the profession, or other [please describe]) and the name of the standards.

Ministry of Finance of Russian Federation is goverment agency.

- Accounting rules for budget performance, adopted 02/1999 by Ministry of Finance
- Accounting rules for not-for-profit entities receiving funds from government budget adopted 12/1999, last amended 06/2001 by Ministry of Finance

84. How many voting members does the standard-setting body have?

N/a

85. Are the members of the standard-setting body involved on a voluntary basis or employed by the standard-setting body?

	Voluntary
	Employed
	Both - Please describe:		N/a

86. What are the criteria considered in selecting members of the standard-setting body (e.g., best person for the job, sector of the profession, private and public members, academic, geographical representation, etc.)?

N/a

87. Who appoints these members (e.g., member body, government, user, regulator, etc.)?

N/a

88. What is the term of appointment for members?

Year(s)

89. For how many years has the standard-setting body been in existence?

Year(s)

90. Please indicate the budget in US$ of the standard-setting body for the last fiscal year:

Note: Please enter a whole number using commas (e.g., 4,000,000)

N/a

Please enter the exchange rate used to calculate this number.

Note: Please enter a decimal amount (e.g., 4.0027)

91. To what entity is the standard-setting body accountable?

Government of Russian Federation

92. Describe the due process followed by the standard-setting body. Please include explanations of the following:

public exposure of standards

Not in practice.
accessibility of meetings (i.e., public or private)

N/a
approval process for final standards (i.e., majority required to approve final standards)

N/a
other relevant due process activities

N/a

93. Approximately how many days per year does the standard-setting body meet in full session (including teleconferences)?

Day(s)

Section 9 -- Private Sector Accounting Standards

Responses to the questions in this section will provide a description of the legal, statutory and professional framework governing private-sector accounting standards in your country. The section focuses on the establishment of such standards. Please indicate what role your organization plays within this framework.

Section 9A -- Statutory Framework

94. Please provide the name of the Legal authority and/or self-regulatory rules that establish private-sector accounting standards in your country, the date of last amendment, and the name of the body responsible for setting private sector accounting standards. If the standards are different for different entities (for example, listed entities, private companies, governmental organization, not for profit organizations, etc.), please specify the requirements that apply to each.

Type of entity	Name of legal authority or applicable rules	Date of last amendment (e.g. MM/YYYY 06/2001)	Name of body responsible for setting private sector accounting standards
Listed entity	Accounting regulations	01/2004	Ministry of Finance of Russian Federation
Other (please describe) all other entities	Accounting Rules	08/2004	Central Bank of Russia
Other (please describe) all other entities	Accounting rules	06/2001	Ministry of Finance of Russian Federation
Other (please describe) all other entities	Accounting Regulations	01/2004	Ministry of Finance of Russian Federation
Other (please describe) all other entities

We can send them by e-mail

Yes

Section 9B -- Standard-Setting (Ministry of Finance of Russian Federation)

95. For Ministry of Finance of Russian Federation, please indicate the nature of the body (i.e., whether it is part of a government ministry or department, an agency appointed by government, a private organization established by the profession, or other [please describe]) and the name of the standards.

Ministry of Finance is governmental agency.

Accounting Regulations (PBUs)

96. How many voting members does the standard-setting body have?

N/a

97. Are the members of the standard-setting body involved on a voluntary basis or employed by the standard-setting body?

	Voluntary
	Employed
	Both - Please describe:		N/a

98. What are the criteria considered in selecting members of the standard-setting body (e.g., best person for the job, sector of the profession, private and public members, academic, geographical representation, etc.)?

N/a

99. Who appoints these members (e.g., member body, government, user, regulator, etc.)?

N/a

100. What is the term of appointment for members?

Year(s)

101. For how many years has the standard-setting body been in existence?

Year(s)

102. Please indicate the budget in US$ of the standard-setting body for the last fiscal year:

Note: Please enter a whole number using commas (e.g., 4,000,000)

N/a

Please enter the exchange rate used to calculate this number.

Note: Please enter a decimal amount (e.g., 4.0027)

N/a

103. To what entity is the standard-setting body accountable?

Government of Russian Federation

104. Describe the due process followed by the standard-setting body. Please include explanations of the following:

public exposure of standards

Not in practice
accessibility of meetings (i.e., public or private)

N/a
approval process for final standards (i.e., majority required to approve final standards)

N/a
other relevant due process activities

There is no publicly announced process

105. Approximately how many days per year does the standard-setting body meet in full session (including teleconferences)?

Day(s)

Section 9B -- Standard-Setting (Central Bank of Russia)

95. For Central Bank of Russia, please indicate the nature of the body (i.e., whether it is part of a government ministry or department, an agency appointed by government, a private organization established by the profession, or other [please describe]) and the name of the standards.

Central Bank of Russia is Independent State Agency.

Accounting Rules.

96. How many voting members does the standard-setting body have?

N/a

97. Are the members of the standard-setting body involved on a voluntary basis or employed by the standard-setting body?

	Voluntary
	Employed
	Both - Please describe:		N/a

N/a

99. Who appoints these members (e.g., member body, government, user, regulator, etc.)?

N/a

100. What is the term of appointment for members?

Year(s)

101. For how many years has the standard-setting body been in existence?

Year(s)

102. Please indicate the budget in US$ of the standard-setting body for the last fiscal year:

Note: Please enter a whole number using commas (e.g., 4,000,000)

n/a

Please enter the exchange rate used to calculate this number.

Note: Please enter a decimal amount (e.g., 4.0027)

103. To what entity is the standard-setting body accountable?

It is Independent State Agency.

104. Describe the due process followed by the standard-setting body. Please include explanations of the following:

public exposure of standards

Not in practice
accessibility of meetings (i.e., public or private)

N/a
approval process for final standards (i.e., majority required to approve final standards)

N/a
other relevant due process activities

N/a

105. Approximately how many days per year does the standard-setting body meet in full session (including teleconferences)?

Day(s)

Section 10 -- Monitoring (Quality Assurance) and Enforcement

Responses to the questions in this section will provide a description of the legal and professional framework governing regulation of the profession in your country. Please indicate what role your organization plays within this framework.

Section 10A -- Securities Market Regulatory Authority

106. Name the authority that regulates the securities market:

Federal Commission on the Securities Market (FCSM)

107. What responsibilities does this organization have for monitoring and enforcing compliance with accounting, reporting or auditing requirements? Please identify the Legal authority that establishes that responsibility:

The FCSM has the following responsibilities:
- Enforcing compliance with the financial disclosure requirements � established by the Federal Law �On the Securities Market�, article 42(9).

The FCSM has also an authority to check the securities issuers� activities established by the Federal Law �On the Securities Market�, article 44(6).

108. Briefly describe the role of the regulatory authority as it relates to the following:

regulation of the audit profession

No regulatory authority, only advisory role
accounting and auditing standard-setting

No regulatory authority, only advisory role
review of financial statements prepared by listed entities, and monitoring of their compliance with the accounting and disclosure requirements

Performs reviews of financial information contained in the prospectuses and quarterly reports by the securities issuers, including listed companies, provides for timely and full disclosure of the information required by the laws and regulations.

Section 10B -- Stock Exchange

109. Name the four largest stock exchangers (by market capitalization) and whether it is organized as a profit or not-for-profit organization:

Profit	Not for profit	Stock Exchange
		Moscow Inter-Bank Currency Exchange (MICEX)
		Russian Trading System (RTS)
		Saint-Petersburg Stock Exchange

Section 10B -- Stock Exchange
Moscow Inter-Bank Currency Exchange (MICEX) Details

110. For Moscow Inter-Bank Currency Exchange (MICEX), is there a mechanism at the stock exchange(s) for monitoring and enforcing financial reporting, accounting and auditing of listed entities?

Yes

If YES, please describe the following:

How the monitoring and enforcement of financial reporting, accounting and auditing is conducted.
The consequences of non-compliance with the financial reporting, accounting or auditing requirements.
How enforcement actions are administered.

Section 10B -- Stock Exchange
Russian Trading System (RTS) Details

110. For Russian Trading System (RTS), is there a mechanism at the stock exchange(s) for monitoring and enforcing financial reporting, accounting and auditing of listed entities?

Yes

If YES, please describe the following:

How the monitoring and enforcement of financial reporting, accounting and auditing is conducted.
The consequences of non-compliance with the financial reporting, accounting or auditing requirements.
How enforcement actions are administered.

Section 10B -- Stock Exchange
Saint-Petersburg Stock Exchange Details

110. For Saint-Petersburg Stock Exchange, is there a mechanism at the stock exchange(s) for monitoring and enforcing financial reporting, accounting and auditing of listed entities?

Yes

If YES, please describe the following:

How the monitoring and enforcement of financial reporting, accounting and auditing is conducted.
The consequences of non-compliance with the financial reporting, accounting or auditing requirements.
How enforcement actions are administered.

Section 10C -- Regulatory Oversight of the Accounting Profession

111. Has an audit profession oversight body been established (e.g., to oversee the external quality assurance review process, etc.)?

Yes

If NO, proceed to the next section.

If YES, please describe :

What are the name and duties of the oversight body?

The Ministry of Finance of Russian Federation

Attestation of auditors;
Licensing of individual auditors and audit firms;
Quality control of auditors� activity;
Development of audit standards and rules
The number of members on the oversight body

54
Its powers

Please see the answer point a. and e.
How the oversight body conducts or oversees a program of inspections to assess the degree of compliance of each audit firm/auditor with applicable auditing standards and regulations

External control according to a �Program of compliance with licensing requirements and conditions as well as quality control of audit firms and auditors�
The sanctions the oversight body may impose in the event of non-compliance

application for delay of license or withdrawal of license
How the oversight body is accountable to any public institution or body

No

Section 10D -- Banks Regulatory Authority

112. Name the authority that regulates the banks and similar financial institutions. Discuss how this authority differentiates between accounting requirements for regulatory reporting and general purpose external financial reporting:

Accounting rules established by Central Bank of Russian Federation (Bank of Russia), Last amended 08/2004. A conceptual framework of accounting rules for banks is the same as for general purposes. Chart of accounts and forms of financial reporting are differ.

113. Discuss briefly the legal requirements with respect to monitoring and enforcement by the regulatory authority of accounting and auditing standards that apply to the banks and similar financial institutions:

Constitution Of Russian Federation, Federal Laws" On the Banks and Bank Activity" (adopted12/1990, last amended 07/2004), "On the Central Bank of Russian Federation (Bank of Russia) (adopted 07/2002, last amended 07/2004), Civil Code of Russian Federation (adopted 11/200), Tax Code of Russian Federation (adopted 08/2000, last amended 08/2004) and other statements.

114. Briefly describe the role of the regulatory authority as it relates to the following:

regulation of the audit profession

Not in practice.
accounting and auditing standard-setting

in the part of accounting
review of financial statements prepared by listed entities

It is standard practice.Review is carry out in accordance with national legislation.
enforcement of accounting, reporting and auditing requirements

It is standard practice.Control is carry out in accordance with national legislation.

Section 10E -- Non-Banking Financial Institutions Regulatory Authority

115. Name the regulatory authority(ies) responsible for monitoring compliance with and enforcing accounting, reporting and auditing requirements imposed on non-banking institutions.

Rules established by the Cental Bank of Russian Federation (Bank of Russia)

116. What is the source of Legal authority of the regulatory authority(ies)?

Federal Laws" On the Banks and Bank Activity" (adopted12/1990, last amended 07/2004), "On the Central Bank of Russian Federation (Bank of Russia) (adopted 07/2002, last amended 07/2004)and other documents.

117. Briefly describe the role of the regulatory authority(ies) as it relates to the following:

regulation of the audit profession

Not in practice.
accounting and auditing standard-setting

It is in practice in the part of accounting.
review of financial statements prepared by listed entities

It is standard practice.Review is carry out in accordance with national legislation.
enforcement of accounting, reporting and auditing requirements

It is standard practice.Control is carry out in accordance with national legislation.

Section 10F -- Insurance Companies Regulatory Authority

118. Name the regulatory authority responsible for monitoring compliance with and enforcing accounting, reporting and auditing requirements imposed on insurance companies.

Accounting regulations adopted by Ministry of finance (last amended 01/2004) with some particularities.

119. What is the source of Legal authority of the regulatory authority(ies)?

Federal Laws: "On the Accounting" (adopted 1996, last amended 2004, "On the organization of insurance" (adopted 1992, last amended 07/2004)

120. Briefly describe the role of the regulatory authority(ies) as it relates to the following

regulation of the audit profession

Financial statements of insurance companies are the subject of mandatory audit.
accounting and auditing standard-setting

Establish chart of accounts and forms of financisl statements.
review of financial statements prepared by listed listed entities

controle of financial stability and solvency.
enforcement of accounting, reporting and auditing requirements

Accounting standards are mandatory for all insurance companies.

Section 10G -- Other Regulatory Authority

121. Name any other regulatory authority(ies) responsible for monitoring compliance with and enforcing accounting, reporting and auditing requirements.

Professional organizations of auditors have to monitor compliance with and enforcing audit �Rules (Standards). At the moment the government considers the amendment to the Federal Law relative to compulsory membership of all auditors � natural persons and audit entities in Professional organizations of auditors.

122. What is the source of Legal authority of each regulatory authority?

The source of legal authority of each audit professional organization is its Chart.

123. Briefly describe the role of the regulatory authority(ies) as it relates to the following

regulation of the audit profession

Government of Russian Federation is developing the draft of Federal Law to hand over performance of audit regulatory functions to self-regulating audit organizations. The adopting of the Law is expected this autumn.
accounting and auditing standard-setting

participation in development of audit and accounting rules (Standards)
review of financial statements prepared by listed listed entities

No
enforcement of accounting, reporting and auditing requirements

Monitoring of compliance with and enforcing audit rules (Standards) and Code of Ethics.

Section 10H -- Quality Assurance

124. Does any organization of professional accountants/auditors organize a program of quality assurance review to monitor compliance with accounting, reporting and auditing requirements?

Yes

If NO, proceed to next Section.

If YES, briefly describe the monitoring and enforcement mechanism.

Professional organizations have their own audit quality control systems to monitor the compliance of audit quality with legal authorities.

125. Under what authority does the organization conduct the program of quality assurance review?

Professional organizations have their own audit quality control systems to monitor the compliance of audit quality with legal authorities.

126. Who performs the review (e.g., one firm reviewing another firm, staff from the national professional organization, contractors, or a combination of these)?

IPAR appoints controller (natural person) from one audit firm to perform the review of quality control program of another audit firm. Controller has to be a member of IPAR.

Section 10 I -- Investigation and Discipline

127. Is there a process for investigating and disciplining the accounting profession in your country?

Yes

If NO, proceed to the Certification of Chief Executive

128. Which of the following best describes the responsibility for the investigatory and disciplinary function in your country?

	Government or other agencies are solely responsible for this function.
	Government or other agencies have this responsibility, but the member body or bodies participate in the process.
	Government formally delegates this function to the member body or bodies, to exercise on its behalf.
	Member body or bodies have separate and independent processes that operate alongside processes of legal authorities.
	Other (please explain)

129. Please indicate the name of the body or bodies responsible for investigation and discipline.

Ministry of Finance of Russian Federation
Ministry of Taxes and Duties of Russian Federation
Central Bank of Russian Federation (Bank of Russia)
Federal Comission on the Securities Market
Institute of Professional Accountants of Russia (IPAR)

Responses to the remaining questions in this Section are required if your organization has responsibility for investigation and disciplinary actions.

130. How many voting members does the body have?

131. Are the members of the body involved on a voluntary basis or employed by the standard-setting body?

	Voluntary
	Employed
	Both - Please describe:

132. What are the criteria considered in selecting members of the body (e.g., best person for the job, sector of the profession, private and public members, academic, geographical representation, etc.)?

best person for the job, sector of the profession, academic, geographical representation

133. Who appoints these members (e.g., member body, government, user, regulator, etc.)?

member body

134. What is the term of appointment for members?

Year(s)

135. For how many years has the body been in existence?

3 Year(s)

136. Please indicate the budget in US$ of the body for the last fiscal year.

Note: Please enter a whole number using commas (e.g., 4,000,000)

14,917

Please enter the exchange rate used to calculate this number.

Note: Please enter a decimal amount (e.g., 4.0027)

30.0 (specify currency)

137. To what entity is the body accountable?

The Presidential Council of IPAR

138. Approximately how many days per year does the body meet in full session (including teleconferences)?

12 Day(s)

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