Suspending many auditors, including the 'deputy general' who signed SCB's financial reports

In some recent major cases, auditors failed to detect problems or were clearly stated to have not fulfilled their obligations properly - Photo: TTD

Which auditors working at Big4 have just been suspended?

The Securities Commission has just decided to suspend the status of auditor approved to audit public interest entities in the securities sector with Ernst & Young Vietnam Auditing Company Limited (EY Vietnam).

Accordingly, auditors Hang Nhat Quang and Ton Thien Bao Ngoc were suspended until the end of 2024. Ernst & Young Vietnam is one of the four famous foreign-invested "Big4" auditing firms established in Vietnam.

The committee's announcement did not detail the reasons for the suspension of two auditors of Ernst & Young Vietnam.

At the same time, the agency also decided to suspend the status of auditor approved to audit public interest entities in the securities sector until the end of this year for Mr. Tran Dinh Vinh of KPMG Company Limited.

KPMG is also one of the “Big 4”. Mr. Tran Dinh Vinh is known as the Deputy General Director of KPMG Company Limited. Notably, Mr. Vinh is also an auditor who signed the audit of SCB’s 2020 financial statements.

Mr. Vinh – the auditor who signed SCB's financial report – has just been suspended – Photo of the report

In July this year, the State Securities Commission issued a decision to suspend the status of auditors approved to audit public interest entities for auditors of Deloitte Vietnam Auditing Company Limited.

Specifically, the suspended list includes auditors Pham Hoai Nam, Le Dinh Tu, Do Hong Duong, and Tran Van Dang. The suspension period starts from June 25 to December 31, 2024. Of which, Mr. Le Dinh Tu is the deputy general director who signed the audit report of SCB for the 2019 semi-annual period.

Also related to the “Big 4”, the financial market was recently stirred up by Novaland Group (NVL) deciding to terminate the audit contract signed with PwC (Vietnam) Company Limited to rotate the audit unit.

Through practical work, Novaland assessed that the auditing services provided by PwC in the past did not meet the necessary requirements to perform and ensure the progress of auditing and reviewing financial statements according to regulations on information disclosure.

According to current regulations, listed companies must sign an audit contract before June 30 if their fiscal year ends on December 31. The reason is that an auditing company will have to review the semi-annual financial statements and audit the full-year financial statements. Changing the auditing company midway raises many questions for both PwC and Novaland.

Many other auditing firms also have suspended auditors.

On November 12, the Securities Commission also issued decisions to suspend the qualifications of auditors approved to audit public interest entities in the securities sector of DFK Vietnam Auditing Company Limited and Moore AISC Auditing and Informatics Services Company Limited.

Accordingly, Mr. Nguyen Anh Tuan, Mr. Le Huy Binh and Mr. Nguyen Van Tan of DFK Vietnam were suspended until the end of 2024. Similarly, auditor Phan Duc Danh of Moore AISC was also suspended for the same period.

Notably, DFK Vietnam Auditing Company also appeared in the case of Mr. Nguyen Cao Tri. The investigation agency accused DFK Auditing of signing and issuing an audit report on the situation of charter capital contribution of shareholders, determining the owner's capital contribution to be 2,000 billion VND despite insufficient evidence, and not working with the board of directors , general director, and legal representative of Saigon Dai Ninh Company.

Most recently, the Securities Commission also announced that it will suspend the auditors of DFK Vietnam Auditing from signing the financial statements of Quoc Cuong Gia Lai Joint Stock Company (QCG). According to the results of the 2024 audit service quality inspection by the Securities Commission at DFK Vietnam Auditing, the audit records show that the auditors have not fully performed the audit procedures and have not collected sufficient appropriate audit evidence to issue an audit opinion...

Source: https://tuoitre.vn/dinh-chi-nhieu-kiem-toan-vien-co-ca-pho-tong-tung-ky-bao-cao-tai-chinh-scb-20241122171708412.htm