You have been browsing through board and management minutes and made the following discoveries:

The MGC Group has a board of directors with three members. One of them, Mr$.$ Matela, the chairman of the board is overdue for retirement and the group have been looking for his replacement. Your firm, Newdawn Chartered Accountants have been approached and the partner asked if he could replace Mr$.$ Matela while the group is looking for a permanent replacement. If the partner agrees, he will be involved in the evaluation of the tenders for group auditors for the next financial period.

You also have discovered that for one of the group$`$s components in Lesotho, Capital Roads, New dawn chartered Accountants have been providing audit services plus accounting, Valuation expertise, tax returns filing and tax advice. Capital Roads will be listed in the Maseru stock exchange in nine months. discuss any ethical and professional issues in regard to the components and Group audit, and recommend any actions appropriate which your firm may take.