PwC reaches $1m settlement with SEC
PricewaterhouseCoopers has agreed to make a $1m (£611,000) payment to the US Securities and Exchange Commission as settlement over accusations of improper professional conduct.
SEC hands down $5m fine to PwC
The payment, which means that PwC do not have to admit responsibility for the charges, relate to an SEC investigation of the 1997 audit of telecoms company SmarTalk TeleServices.
PwC has been accused of signing off the annual report of the now bankrupt company ‘which contained materially false and misleading financial statements’ involving a $25m reserve fund.
This is the second time in the last year that PwC has been forced to pay out to the SEC. Last July the Big Four firm payed $5m and accepted an official reprimand over the audits of 16 companies from 1996 to 2001.