In this month's roundup of audit news and regulations, disciplinary hearing planned for Big Four firm PwC over Connaught audit irregularities, audit changes at Grafton Group and Share plc, plus the latest on the FRC consultation on implementation of the EU Audit Regulation and Directive, coming into force in the UK in June 2016
PwC partner and Connaught finance team face FRC disciplinary tribunal
The Financial Reporting Council (FRC) has made two formal disciplinary complaints and is planning a tribunal hearing against the PwC audit engagement partner and the group financial director and deputy financial director of social housing group Connaught, which collapsed into administration in 2010.
The complaints follow an FRC investigation which began in November 2010, shortly after Connaught went into administration in September of that year, with the loss of more than 1,000 jobs amid questions about the company’s aggressive accounting policies in relation to dealing with costs.
The FRC probed how the group’s accounts were prepared and approved for the year ended 31 August 2009, alongside interim financial statements for the six months ended 28 February 2010.
