PETALING JAYA: The Securities Commission’s (SC) Audit Oversight Board (AOB) has rapped two registered auditors, Lim Kok Beng of Ong Boon Bah & Co and Chan Kee Hwa of Khoo Wong & Chan, for non-compliance.
The SC, in a statement yesterday said the two auditors were reprimanded for not complying with the International Standards on Auditing while auditing the financial statements of public interest entities.
The two were also found to have breached the registration conditions imposed by the AOB under section 31O(4) of the Securities Commission Act 1993 (SCA).
In addition to the reprimand, a monetary penalty of RM10,000 was imposed on Lim.
The SC said the two auditors were the first to be reprimanded by the AOB in 2014.
The audit regulator had in previous years taken action against eight individual auditors for failing to comply with auditing and ethical standards.
AOB executive chairman Nik Hasyudeen said while the board was pleased with the overall efforts taken by the auditors in Malaysia in ensuring the quality of their work, the AOB would not hesitate to take action to ensure auditors complied with relevant standards. “The value of audit is the reliability of the reports issued by the auditors,” he said.
The AOB was set up by the SC in 2010, to oversee the auditors of public interest entities, protect investors’ interest and promote confidence in the quality and reliability of audited financial statements of public interest entities.
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