Monday 21 August 2006 06 LAWFUEL – Legal News Network – The Companies Auditors and Liquidators Disciplinary Board (CALDB) has suspended the registration of Mr Roger Charles Williams as an auditor for nine months, commencing 17 August 2006, following an application by the Australian Securities and Investments Commission (ASIC). Mr Williams, currently a partner of accounting firm Stirling Warton Williams, had his registration suspended by the CALDB after it found he had failed to carry out or perform adequately and properly the duties of an auditor in relation to his audit of the 2003 financial report of Newhaven Park Stud Limited, since renamed Newhaven Hotels Limited (Newhaven). Specifically, the CALDB found that Mr Williams had: • failed to express a qualified audit opinion notwithstanding the report failed to comply with applicable accounting standards, in particular AASB 1037 Self-Generating and Regenerating Assets and AASB 1017 Related Party Disclosures, and • failed to comply with AUS 208 Documentation in that he did not document his reasoning for being satisfied that the accounting standards were met. In addition to the nine month suspension of his registration as an auditor, the CALDB required Mr Williams undertake to: • successfully complete the audit and assurance module of the Chartered Accountants Program run by the Institute of Chartered Accountants in Australia, and • have his next two company audits reviewed by a peer. The CALDB also ordered that Mr Williams pay 80 per cent of ASIC’s costs. ‘Businesses and members of the public must be able to rely on auditors to meet their responsibilities as required by the law and their profession. ASIC regards any breach of an auditor’s responsibilities as very serious and will not hesitate to take disciplinary action in these circumstances’, ASIC’s Deputy Executive Director of Enforcement, Mr Mark Steward, said. Background Following intervention by ASIC, Newhaven announced in March 2004 that it would reissue its financial report for the year ended 30 June 2003. The company had, among other things, changed its policy at 30 June 2003 to record broodmares at cost rather than market value. By not complying with applicable accounting standards, the company had reported a net profit in excess of $2.8 million. The reissued financial report, which complied with the applicable accounting standards, disclosed a net loss in excess of $4.5 million. For further information contact: Mark Steward Deputy Executive Director, Enforcement Telephone: 03 9280 3467 Mobile: 0412 860 940 Emma Forehan ASIC Media Unit Telephone: 03 9280 3354 Mobile: 0409 702 310
Monday 21 August 2006 06 LAWFUEL – Legal News Network – The Companie…
