SEC fines Crowe U.K. $750K over deficient Akazoo audit
By 
Kyle Brasseur2023-08-14T18:02:00
The U.K. arm of audit firm Crowe agreed to pay $750,000 as part of a settlement with the Securities and Exchange Commission (SEC) for alleged professional care and skepticism failures regarding its 2018 audit of music streaming subscription company Akazoo.
Akazoo reached a $38.8 million settlement with the SEC in October 2021 for allegedly defrauding investors out of tens of millions of dollars related to its 2019 special purpose acquisition company merger. That merger was informed by the 2018 audit, which the SEC faulted Crowe U.K. for not conducting in line with Public Company Accounting Oversight Board (PCAOB) standards.
The SEC on Monday also announced settlments with Crowe U.K. Chief Executive Nigel Bostock, the engagement partner for the Akazoo audit, for $25,000 and Matthew Stallabrass, the engagement quality reviewer for the audit, for $10,000 regarding their alleged failures.
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