- Chief Compliance Officer and VP of Legal Affairs, Arrow Electronics
By 
Kyle Brasseur2023-08-30T14:03:00
Accounting firm Warren Averett agreed to pay a penalty of $200,000 in resolving the first case brought by the Public Company Accounting Oversight Board (PCAOB) regarding auditor independence violations related to a firm’s membership in an accounting alliance.
Warren Averett ran afoul of PCAOB quality control standards when it audited valuations performed for an issuer by another accounting firm that sponsored an alliance of which Warren Averett was a member, the PCAOB said in a press release Tuesday. The relationship between the firms implied by the alliance could cause an investor to reasonably question the integrity of the work, the regulator noted.
“Independence violations put investors at risk by threatening the objectivity that’s essential to a high-quality audit,” said PCAOB Chair Erica Williams in the release. “The PCAOB is committed to using every tool in our enforcement toolbox to protect investors.”
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