More UK audit firms can expect to be targeted by the US Public Company
Accounting Oversight Board this year, after the body said it would step up
inspections of foreign firms in 2006.
Last year, the PCAOB carried out inspections of 16 foreign firms, including
that of BDO Stoy Hayward. The Big Four and other firms in the UK are expected to
receive visits over the course of 2006 following talks with the Financial
Reporting Council last month, the Financial Times reports.
Although many firms are concerned over the extraterritorial powers that the
PCAOB has over their firm and the risk of ‘double jeopardy’ punishment from the
body and a national regulator, BDO’s managing partner Jeremy Newman actively
encouraged the inspections, which were carried out jointly with the FRC’s audit
‘We let the PCAOB come in because we wanted to show that our audit procedures
are as robust and strong as anyone else’s and we are as capable as anyone else
of auditing companies with US listings,’ he said.
UK senior partner Phil Verity has been elected for a second term at Mazars
An audit partner has been appointed at Grant Thornton in its North West offices
KPMG has been appointed with “immediate” effect as the auditor of Dorcaster
The audit for Ibstock will be taken over by Deloitte following a competitive tender process