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SEC censures San Diego accounting firm
Boros & Farrington gets cease and desist order
The Securities and Exchange Commission this month censured San Diego's Boros & Farrington Accountancy Corp. for engaging in "highly unreasonable conduct that resulted in violations of applicable professional standards," according to the securities agency. The firm audits brokerage houses that have to file reports with the securities agency.
But Boros & Farrington "generally took data from financial documents provided by clients during audits," and used the information to prepare the clients' financial statements and notes to financial statements, said the agency. Under rules for independent auditors, accounting firms doing an audit "cannot jeopardize their objectivity and impartiality," said the agency, by providing non-audit services to audit clients. Such activity puts the auditing firm "in the position of auditing their own work" and "helping to prepare the books rather than strictly auditing them." Boros & Farrington was slapped with a cease and desist order, as well as a fine.
Here's something you might be interested in.
SEC censures San Diego accounting firm
Boros & Farrington gets cease and desist order
SEC censures San Diego accounting firm
Boros & Farrington gets cease and desist order
The Securities and Exchange Commission this month censured San Diego's Boros & Farrington Accountancy Corp. for engaging in "highly unreasonable conduct that resulted in violations of applicable professional standards," according to the securities agency. The firm audits brokerage houses that have to file reports with the securities agency.
But Boros & Farrington "generally took data from financial documents provided by clients during audits," and used the information to prepare the clients' financial statements and notes to financial statements, said the agency. Under rules for independent auditors, accounting firms doing an audit "cannot jeopardize their objectivity and impartiality," said the agency, by providing non-audit services to audit clients. Such activity puts the auditing firm "in the position of auditing their own work" and "helping to prepare the books rather than strictly auditing them." Boros & Farrington was slapped with a cease and desist order, as well as a fine.
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