Attention FAE Customers:
Please be aware that NASBA credits are awarded based on whether the events are webcast or in-person, as well as on the number of CPE credits.
Please check the event registration page to see if NASBA credits are being awarded for the programs you select.

PCAOB Permanently Bars Audit Firm and Owner for Multiple Violations

S.J. Steinhardt
Published Date:
Aug 21, 2023

iStock-519089329 Audit

The Public Company Accounting Oversight Board (PCAOB) has sanctioned Denver-based accounting form AJ Robbins CPA LLC, permanently revoking its registration, permanently barring owner Allan Jeffrie Robbins from association with any registered firm, and fining it a total of $150,000.

The penalties were assessed due to the firm’s violations of PCAOB rules and standards concerning independence and professional skepticism, its improper altering of documents and and its failing to cooperate with the PCAOB investigation.

Specifically, the PCAOB found that:

● The firm issued multiple audit reports and interim review engagements between 2016 and 2018 without first obtaining concurring approval for issuance from an engagement quality reviewer;

● The firm failed to conduct two issuer audits with due professional care and professional skepticism during 2018;

● The firm and Robbins failed to cooperate with a PCAOB inspection during 2018 by improperly altering audit documentation and making misrepresentations to the PCAOB’s inspections staff;

● The firm failed to maintain its independence from an issuer client in violation of SEC and PCAOB rules due to a business relationship with an officer and director of that issuer client; and that
● Robbins directly and substantially contributed to the firm’s violations.

The findings are detailed in the board’s adjudicated disciplinary order.

“Professional skepticism, independence and cooperation with PCAOB inspections are fundamental to auditors’ responsibilities to protect investors.” PCAOB Chair Erica Y. Williams said in a statement. “When auditors fail to uphold those responsibilities, the PCAOB will take action.”

To learn about issued and proposed guidance from the PCAOB, as well as projects on the PCAOB’s agenda, attend the Foundation for Accounting Education's Auditing Standards Update with Renee Rampulla Webcast on Aug. 24.

Click here to see more of the latest news from the NYSSCPA.