The Public Company Accounting Supervision Board (PCAOB) has sanctioned Marcum Asia CPAS, a firm based in New York, USA, for not complying with audit standards and PCAOB rules.
The disciplinary order is related to the company’s actions during its mandate as Auditor for Gridsum Holding, a company based in Beijing and the subsequent transfer of work papers to a Successor Auditor, public counters certified by Shandong Haoxin in China.
Marcum Asia CPAS, previously known as Marcum Bernstein & Pinchuk, was hired by Gridsum in June 2018 to audit the company’s financial statements 2015 to 2017.
Before the audits end, Gridsum replaced Marcum Asia’s CPA with haoxin.
During the transition, Marcum Asia’s CPA transferred Borry Workpapers to Haoxin without establishing a clear understanding of its use, contraveting the PCAOB standard 2610 in communications between predecessors and successors.
The subsequent use of Haoxin of the draft of the work phones in its audit and the issuance of an unqualified audit report for Gridsum’s financial statements was addressed in an PCAOB application agreement in November 2023.
PCAOB’s sanctions against Marcum Asia CPA include censorship, a civil fine of $ 100,000 and a mandate for the company to undertake training focused on improving communications between predecessor and successors.
In 2023, the Bag and Securities Commission (SEC) took measures against Marcum, related to the CPA of Marcum Asia, for systemic quality control failures and standard audit violations in hundreds of customers of companies to acquire special purpose, dating from at least 2020.
The SEC’s order stressed that these problems were part of a broader pattern of quality control failures within the company. To resolve the charges, Marcum LLP agreed to pay a fine of $ 10 million.
“PCAOB SANCIONS MARCUM ASIA for audit infractions” was originally created and published by International Accounting Bulletin, a brand owned by Globaldata.
Information on this site has been included in good faith only for general informative purposes. It is not intended to ascend to the advice on which you must trust, and we do not give any representation, guarantee or guarantee, whether express or implicit in its precision or integrity. You must obtain professional or specialized advice before taking or refraining from any action on the basis of the content on our site.
(Tagstotranslate) PCAOB (T) Shandong Haoxin Certified Public Accountants (T) Marcum Bernstein (T) Public Company Accounting Supervision Board (T) Unqualified Audit Report
Source link