Regulatory Action Against the Independent Auditor and Audit Quality Risk
First written in FY2024. 1 of 2 entries say "Mitigated", first in FY2025. Latest entry: FY2025.
22 other companies' latest entry also says "Mitigated".
- FY2025MitigatedAnnual report
「Regarding the sanction imposed by the Financial Services Agency described above, the Audit and Supervisory Committee received a report on the business improvement plan from Taiyo Yugen Kaisha Audit Corporation, requested an explanation and deliberated on the matter. It determined that there would be no immediate impact on the company's audit activities and that the initiatives under the business improvement plan already under way would establish an organized audit and review structure and ensure the reliability of the audit.」
The Audit and Supervisory Committee deliberated on the administrative action against the audit firm after receiving a report and explanation of its business improvement plan, and determined that there would be no immediate impact on the company's audit and that its reliability would be ensured. - FY2024First statedAnnual report
「Taiyo Yugen Kaisha Audit Corporation was sanctioned by the Financial Services Agency on 26 December 2023. The outline of the sanction is as follows: • Suspension of activities relating to entering into new engagements for 3 months, from 1 January 2024 through 31 March 2024 • Business improvement order (improvement of the business management system)」
The Financial Services Agency's 3-month suspension of new engagements and business improvement order against the external auditor actually occurred. The company reported and deliberated on the matter at the Audit and Supervisory Committee, and determined that there would be no immediate impact on its audit activities and that reliability would be ensured through the business improvement plan.