Disciplinary proceedings were brought by the Public Company Accounting Oversight Board (PCAOB) in the United States against the Firm for failing to file Form AP for three audits by the deadline required by PCAOB regulations. PCAOB issued an order censuring the Firm, imposing a US$10,000 penalty and requiring policy and procedure updates by the Firm.
The Investigation Committee determined the Firm contravened the CPABC Code of Professional Conduct as follows:
501 - Policies and procedures for compliance with professional standards
502(a)&(b) - Policies and procedures for the conduct of a practice
The Committee noted the significant penalty the Firm had incurred. The Committee recommended the Firm:
- accept a reprimand; and
- pay expenses of $1000.