Administrative Action Against the Accounting Auditor and the Risk of Continuing the Audit Engagement
First written in FY2024. 1 of 2 entries say "Materialised", first in FY2024. Latest entry: FY2026.
The whole theme swung hardest in 2024: 17 of 54 companies on the "Worse" side.
18 other companies' latest entry also says "Mitigated".
- FY2026MitigatedAnnual report
「In addition to the matters described above, after considering the status of collaboration during the fiscal year between the audit firm and management, the accounting department, the internal audit department and other relevant departments, the company determined that the audit work and audit results were appropriate and decided to reappoint the audit firm.」
Even after the administrative sanction against the independent auditor disclosed in the previous fiscal year, the company confirmed its quality control system and other matters before deciding to reappoint the audit firm. - FY2024MaterialisedAnnual report
「The company's independent auditor, 太陽有限責任監査法人, received an administrative sanction from the Financial Services Agency on 26 December 2023 suspending operations relating to the execution of new contracts for 3 months, from 1 January through 31 March 2024. This excluded renewals of audit contract terms for audited companies with which audit contracts had already been executed, and new contracts resulting from a company listing.」
The company disclosed that its independent auditor had received a 3-month suspension of operations from the Financial Services Agency. Meanwhile, the Audit & Supervisory Board determined that this did not affect the auditor's suitability as the company's independent auditor and decided to reappoint it.