The Public Company Accounting Oversight Board (PCAOB) announced disciplinary orders against seven audit firms for violating rules requiring that the auditors of brokers and dealers be independent of their audit clients were settled.
According to the PCAOB, in the settlements, in addition to a censure, each firm agreed to undertake significant remedial measures, including:
- To establish or revise its policies and procedures governing compliance with independence requirements,
- To establish a policy to ensure training concerning independence requirements on at least an annual basis,
- To ensure training concerning independence requirements on at least one occasion within 90 days and before the commencement of an engagement with a broker-dealer client,
- To provide a copy of the PCAOB’s disciplinary order to broker-dealer audit personnel, existing broker-dealer clients, and future broker-dealer clients engaged within the next three years, and
- To certify compliance with the terms of the settlement.
In addition, each firm will pay a $2,500 penalty. The settling firms neither admitted nor denied the Board’s findings. The investigations that resulted in these settlements originated with information obtained through the Board’s inspection program.
The Soreide Law Group represents Florida licensed CPA’s in front of the Florida Board of Accountancy (BOA) and the Public Company Accounting Oversight Board (PCAOB) regarding licensing issues. For more information call to speak at no cost with an attorney: (888) 760-6552.