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The depress in Nigeria economy and the role of auditors has played to revamp the economy is a concern to all. This particular study therefore studied the whole phenomenon of depress as to the causes procedures for classifying the economy as depressed and them evaluating critically the roles plays by the auditors. After evaluating all these the roles of the auditor was then examined to determine if to date the auditors has lived up to expectation or of he should be held liable for depress. Depressed economy is therefore a condition where the whole economic system ahs decline in order of magnitude. Developing countries where generally an open economies because of the fall in capacity to import in the third world which was magnified by perverse capital flows the payments problem of developing countries were very server and their import volume was cut on an average peak-to –trough basis. To achieve the objectives of this study sixty (60) questionnaires were distributed thirty (30) wee satisfactorily collected and used for data analysis in this study. The analytical tools used were chi-square frequencies and simple percentage. Chapter one this research work starts with a brief introduction and background statement which gives an overviews of the depress economy. The hypotheses used are stated. In chapter two related texts as regards to depression in economy and the role of auditor are stated. Chapter three shows the various processes involved in obtaining analyzing and interpreting the necessary data gathered. In chapter four the analysis of the finding based on the data collected is made. Chapter five includes the summary of finding of the study which shows that; a. The internal auditor and internal audit departemnt of most banks are no independent. b. The external auditors of most banks lack a full and proper understanding of the activities of their client and also the inert related ship of those activities and others. The conclusion stressed on the importance of the auditors to initially appraise these lacking areas in order to improve its liquidity profitability and general financial strength. The regulatory authorities the management and staff of the bank should also be blamed. Finally in this chapter sir the recommendation which state that under no situation should the auditor allow his independence to be impaired? The management of the banks should recruit honest and qualified staff in order to control fraudulent etc.


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