First Reference company logo

Inside Internal Controls

News and discussion on implementing risk management

machine cogs image

Audit errors at public company lead to substantial fine and other penalties

“Never before has it been so challenging to stay current.”

I’m sure that’s a sentiment you can understand; but with respect to accounting, it’s especially crucial.

eraseIn one recent case (link above), featuring the sort of procedural breaches that I presume make accountants cringe and the type of language that only accountants can understand, a chartered accountants firm was rebuked for its failings in an audit of a public company. A shareholder noticed something strange, and the irregularities led to an investigation by the Professional Conduct Enquiry Committee of the Institute of Chartered Accountants of British Columbia.

What does this mean for you? Well, for one, if you or your accountants don’t have the required up-to-date knowledge to prepare and audit your financials, you might find yourself in legal trouble. For another, financial reporting failures can damage more than just your immediate finances; your reputation with shareholders and the public is at stake too.

Adam Gorley
First Reference Internal Controls, Human Resources and Compliance Editor

Follow me

Adam Gorley

Editor at First Reference
Adam Gorley, B.A. (Phil.), is a researcher, content provider and editor. He contributes regularly to First Reference Talks and Internal Control blogs, HRinfodesk and other First Reference publications. His areas of focus include broad human resources issues, corporate social responsibility, corporate governance and government policies, information technology and labour market trends.Read more
Follow me
Send to Kindle

, , , , , , ,

Comments are currently closed.