Australia announced plans to increase its oversight of the Big Four accounting firms after a series of high-profile governance failures in the industry.
Regulatory Steps
The government directed the Australian Securities and Investments Commission (ASIC) to improve the regulation of accounting and auditing firms, enhancing accountability, transparency, and oversight of the audit sector.
The government proposed bringing the firms under the regulator’s purview and providing it with more powers and stronger penalties to crack down on misconduct. ASIC will examine whistleblower complaints about audit conduct throughout the sector and continue a separate investigation into specific allegations involving KPMG.
The government is also considering breaking up the Big Four firms. All of the Big Four firms have suffered scandals in Australia in recent years, including KPMG, EY, PwC, and Deloitte.
Original reporting: Appleton, WI News Feed (HLL/CB) — read the source article.
