Audit Firm Business Suspension Order and Response Concerning Audit Quality
First written in FY2024. 1 of 2 entries say "Materialised", first in FY2024. Latest entry: FY2025.
The whole theme swung hardest in 2024: 17 of 54 companies on the "Worse" side.
18 other companies' latest entry also says "Mitigated".
- FY2025MitigatedAnnual report
「The certified public accountant subject to the disciplinary action was not involved in our audit work, and renewing the audit engagement was outside the scope of the action, so there was no impact on our audit. In addition, based on our past audit results, we considered the firm’s ability to perform its duties, audit structure, quality control structure, independence and expertise, among other factors, and determined that it was performing its duties appropriately. Accordingly, we concluded that there was no issue with selecting Taiyo Audit Corporation as our audit firm.」
Regarding the business suspension order against the audit firm, we received explanations that the persons subject to the action were not involved, that the business improvement measures had been completed and that there was no impact on the audit, and have continued to select the firm. - FY2024MaterialisedAnnual report
「Taiyo Audit Corporation received a business suspension order from the Financial Services Agency dated 26 December 2023. The details are as follows: suspension of operations relating to the execution of new contracts for 3 months, from 1 January 2024 through 31 March of the same year.」
The 3-month business suspension order against the audit firm is disclosed as an event that actually occurred, with an explanation of the business improvement plan and its impact on our audit.