Settlement Agreements have been reached in respect of Mr Tony Kelly and Ms Alison Gray.
The investigations concerned the audit of the financial statements of Wirecard UK and Ireland Limited.
The Authority has decided to impose a Severe Reprimand and a Fine of €19,500 on Mr Tony Kelly. In respect of Ms Alison Gray the Authority has decided to impose a Severe Reprimand and a Fine of €10,500.
The investigation of Mr Kelly concerned the audit of the financial statements for the years ending 31 December 2016 and 2017. In respect of Ms Gray, the investigation concerned the audit of the financial statements for the year ending 31 December 2018.
IAASA’s investigations into both cases identified a number of areas of non-compliance with international standards on auditing including; overall objectives of the independent auditor, the auditor’s responsibilities relating to fraud, identifying and assessing risks of material misstatement, the auditor’s responses to assessed risks, audit evidence, external confirmations and related parties.
Commenting on the publication of the settlements, IAASA CEO Kevin Prendergast said; “Although Wirecard UK & Ireland Limited was not a public-interest entity and its audit did not fall under IAASA’s direct inspection regime, the Authority utilised its powers under section 934 of the Companies Act to undertake an investigation where it is of the opinion that it is appropriate or in the public interest to do so. This is the first time that IAASA has sanctioned individuals using this power. The failures in audit identified were significant and this is reflected in the sanctions and fines. The financial sanctions have been reduced to reflect the admissions and cooperation of the parties involved.” The Settlement Agreements are available here