Audit quality risk related to the suspension of the accounting auditor's operations
First written in FY2024. 1 of 3 entries say "Restated". Latest entry: FY2025.
The whole theme swung hardest in 2024: 24 of 73 companies on the "Worse" side.
6 other companies' latest entry also says "Dropped".
- FY2025DroppedAnnual report
「As a result of evaluating the independent auditor against the above criteria during the current fiscal year, the Audit & Supervisory Board judged that the audit conducted by the audit firm was, overall, “without any problems whatsoever.”」
The summary of the accounting auditor's business suspension order included in FY2024 was not repeated in the FY2025 audit and risk disclosures, which instead describe the Audit & Supervisory Board's evaluation and the continuation of the audit contract. - FY2025-H1RestatedAnnual report
「The filing states that, during the interim consolidated accounting period, there were no material changes in the major risks that management recognizes could materially affect the consolidated companies' financial position, operating results or cash flows, or in the matters described under Business Risks in the securities report for the previous fiscal year.」
The company provides a comprehensive statement that there have been no material changes regarding the audit quality risk related to the suspension of the accounting auditor's operations. - FY2024First statedAnnual report
「Summary of the business suspension order announced by the Financial Services Agency on 26 December 2023 ① Subject of the order: Taiyo Audit Corporation ② Nature of the order: Suspension for 3 months of operations relating to entering into new contracts, from 1 January 2024 to 31 March 2024, excluding the renewal of audit contracts already in place with audited companies and the execution of new contracts necessitated by a company’s listing. ③ Grounds for the order: In audits of correction reports and other filings by another company, 2 certified public accountants who were members of the audit corporation failed to exercise due care and certified financial statements containing material misstatements as being free of material misstatements.」
A 3-month suspension of the audit corporation's operations relating to entering into new contracts, and the grounds for the order, were disclosed. The Audit & Supervisory Board evaluated the audit for the current fiscal year overall as having “no problems whatsoever.”