Prof. Vani N. Laturkar*,Rashid Abood Abolhoom™*

ABSTRACT

The study aimed to explore and assess of the independence and objectivity of internal auditing in joint stock companies in Republic of Yemen in the various activities (financial, service, and industrial) and the evaluate differences between internal audit in companies which may be attributed to the nature of the activity. In order to achieve objectives of the study questionnaire was designed based on the standards (ITA)) and distributed questionnaire to the internal auditors in nine joint-stock companies. The study findings showed that the internal audit in the joint-stock companies in the Republic of Yemen to the lack of independence and objectivity appropriate to enable it to perform its functions as it should. Because of the internal auditors do not disclose of any threats to their independence and objectivity, and they are largely involved in the activities which were their responsibility in the past, and functions of executive audit chief are not audited from any unite independent internal or external. As well as, the results showed that the current practices of internal audit in financial joint-stock companies were better than the industrial and service companies. Keywords: Independence, Objectivity, Internal Auditing, Stock Companies, Yemen.