audit

How PwC Facilitated Evergrande's Massive Fraud

How PwC Facilitated Evergrande's Massive Fraud

Chinese regulators have hit PwC China with a six-month suspension and a record 441 million yuan ($62 million) fine for audit failures related to Evergrande. Once a major player in China's property market, Evergrande defaulted and filed for bankruptcy after years of fraudulent activity overlooked by PwC. This case underscores the critical importance of auditor independence and skepticism, highlighting severe consequences when these principles are ignored.

1,500 bogus audits. A $14 million fine. A lifetime ban from the SEC. But no jail time?

1,500 bogus audits. A $14 million fine. A lifetime ban from the SEC. But no jail time?

1,500 bogus audits. A $14 million fine. A lifetime ban from the SEC. But no jail time? On today's live stream, we led with the breaking news about the charges against BF Borgers, a one-partner audit firm charged with faking hundreds of public company audits – including Trump's SPAC.

Why Fines Don't Deter Auditor Misconduct

Why Fines Don't Deter Auditor Misconduct

A small audit firm with only one CPA on the website takes on a multi-billion dollar client. The client turns out to be a fraud. And the auditor? They face a measly $65,000 fine, less than the fees they earned from the audit. It's a true story that David and I shared on The Accounting Podcast. And it's just the tip of the iceberg when it comes to the lack of accountability in the auditing profession.

The specter of 'Uberification' looms over audit

The specter of 'Uberification' looms over audit

Disruptive startups are eyeing the audit space, and their impact could be as transformative as Uber's was for the taxi industry. In my latest article for Accounting Today, I spoke with auditor turned tech expert Rob Valdez about how non-CPA firms are already automating and streamlining SOC 2 audits, foreshadowing upheaval in our profession.

How AI is Transforming and Disrupting Audit

How AI is Transforming and Disrupting Audit

In my latest podcast episode, I had the pleasure of speaking with Rob Valdez about the impact of artificial intelligence and generative chatbots, like ChatGPT, on the audit profession. We delve into how these technologies are not just automating routine tasks but are also revolutionizing how we train staff, improve quality, and save time on substantive testing.