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Increased ODCE prosecution activity in auditor cases

In recent years, the Office of the Director of Corporate Enforcement (ODCE) has successfully prosecuted several cases where auditor's reports filed with the Companies Registration Office were signed by firms/persons who were not entitled to do so or where the names of bona fide audit firms were used without the knowledge of those firms.

These offences arise under Section 187 of the Companies Act 1990 (qualification for appointment as auditor) and Section 242 of the1990 Act (furnishing false information to the Registrar of Companies). Several further prosecutions have been, or are very likely to be, initiated during the remainder of 2012.

In one case, conviction under Section 242 resulted in a sentenceof imprisonment being imposed on the Defendant. In that case, which came before Dublin Circuit Court, the Defendant was convicted on two charges, one of which was under Section 242. Concurrent 3 year sentences of imprisonment on the Section 242 charge and another theft and fraud charge were imposed (last year suspended in each case). A good behaviour bond for two years after release was also imposed on the individual concerned and leave to appeal was refused.

In another recent case heard in the District Court, the Defendant was charged with 12 offences under Sections 187 and 242. A custodial sentence of 5 months was imposed (suspended for 3 years) in respect of four charges under Section 242, with a fine imposed in respect of certain other charges.

For further information on these and other cases, visit the prosecutions page on the ODCE website

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URL: http://www.charteredaccountants.ie/en/General/News-and-Events/News1/2012/May/Increased-ODCE-prosecution-activity-in-auditor-cases/

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