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ARC Associates gets listed with RERA And Is Now among the approved list of auditors qualified for executing RERA Audits. Listed auditors in RERA: Real Estate Regulatory Agency (“RERA”), established in Dubai, UAE in the year 2007, is a government agency that formulates, regulates, manages and licenses various real estates related activities in Dubai.RERA stipulates that all its developers should have an independent “ESCROW” account and should undertake an audit to check on the current status of the project and update the records with regards to the progress of the construction. Also, all completed projects must have their own Owner’s Association, who should maintain and audit its books of accounts and submit every year to RERA.
Briefly, the scope of a RERA audit covers the following:
a) Financial Audit – audit and review
list of units sold, units canceled and cash received from buyers
Mortgage/finance amount received for the project from financial institutions
Retention a/c balance and verify it represents 5% of total funds received
Paid land costs and other related payments (registration fees, etc.)
Project construction, management & marketing related payments
Advance payments released to the contractor(s)or other parties
Advance payment guarantee and performance bond issued
b) Operational Audit – To assess the effectiveness of the control environment and activities of the company.
c) Compliance Audit – To verify whether or not the developer is in compliance with the applicable real estate laws & regulations as required by RERA.
At present only about 25 professional firms are registered with RERA to conduct the above audit. RERA requires the professional firms to be listed with them to qualify for conducting the above audit.
ARC Associates is pleased to announce that the firm has been listed with RERA and thus joins the list of approved auditors who have been recognized by RERA.
ARC Associates is a professional firm of accounts based in Dubai with an excellent track record in conducting various types of professional assignments. Partners have more than 35+ years of experience and the total experience of partners put together exceeds 200 years. Please visit our website for more details.
