Are you in compliance?

Don't miss out! Sign up today for our weekly newsletters and stay abreast of important GRC-related information and news.


Status message

Start your free, no obligation 5-day trial to continue exploring with full access.

SEC settles with audit firms over unregistered work

Tammy Whitehouse | March 14, 2018

The Securities and Exchange Commission has settled charges with foreign affiliates of KPMG, Deloitte & Touche, and BDO for overseas audit work that was not properly registered with and overseen by U.S. regulators.

The SEC has extracted penalties and profit disgorgements from the Zimbabwe affiliates of Deloitte and KPMG for auditing the majority of assets and revenues of a U.S.-listed company without registering with the Public Company Accounting Oversight Board. The principal auditors, KPMG’s affiliate in South Africa, and BDO’s affiliate in Canada, were registered with the PCAOB but relied on the work of the unregistered firms to complete the audits. The arrangements violated provisions of the Sarbanes-Oxley Act and Regulation S-X, the SEC said, and caused the audit client to violate its reporting obligations.

The SEC says BDO Canada...

Read this single article for $49, or click the subscribe button below to review subscription options.

Enjoy unlimited access to thousands of articles, browse five years of digital magazines, qualify for reduced admission to events, and more.