Pursuant to the Crown Dependencies’ Recognised Auditor Sanctions Procedure, the FRC’s enforcement committee has concluded that Deloitte LLP failed to comply with the regulatory framework for auditing in its audit of a listed company’s 2018 financial statements.
The committee issued a notice of proposed sanction proposing a regulatory penalty of £440,000, adjusted by a discount of 25% for co-operation and mitigation, rounded down to £330,000. The sanction has been accepted by Deloitte.
In addition, the committee has accepted written undertakings proposed by Deloitte. The committee found serious failings in the reviewed audit and a significant departure from the standards expected of a registered auditor.