Ranbir K. Rai Sall, CPA, CMA of Vancouver, BC, was retained by a law firm to complete the accountant’s portion of the annual Trust Report which the law firm was required to submit to the Law Society of British Columbia (LSBC). Ms. Rai Sall completed the relevant portions of the Trust Report and attested that she was independent and objective. She also certified that the law firm was in compliance with all LSBC rules for trust accounting. The LSBC subsequently conducted an audit of the law firm which revealed numerous breaches of LSBC requirements, including failure to maintain proper books and records, several trust shortages and deficient trust reconciliations.
Ms. Rai Sall:
- Did not have the professional competence or expertise to carry out the engagement with the law firm diligently or with due care
- Falsely attested that the law firm was in compliance with all LSBC rules when she knew the law firm was in breach of numerous rules
- Was not independent of the law firm in this engagement, as she acted as Trust Supervisor for the law firm.
The Investigation Committee determined Ms. Rai Sall contravened the following Rules of the CPABC Code of Professional Conduct:
201.1 - Maintenance of the good reputation of the profession
202.1 - Integrity and due care
202.2 - Objectivity
203 - Professional competence
204.1 - Assurance and specified auditing procedures engagements
205(a) - False or misleading documents
206.1 - Compliance with professional standards
The Committee recommended Ms. Rai Sall:
- accept a reprimand;
- pay a fine of $5,000;
- pay expenses of $3,466;
- attend and successfully complete a professional development course in ethics which is satisfactory to the Director, Professional Conduct; and
- accept the publication of this notice which identifies Ms. Rai Sall.