D&T Resigns after Dotcom Difficulties | AccountingWEB

D&T Resigns after Dotcom Difficulties

The Big Five firm told its client, Financialweb that its "lack of adequate systems, controls, and personnel necessary to timely prepare internal and external financial statements" for the past three years was a reportable condition, and it was resigning immediately.

The auditors also recommended that the firm conduct an internal investigation into allegations that its stock was the target of manipulation, as raised in a federal indictment concerning a shareholder and consultant connected with the Internet firm.

Financialweb said that, when it was told of D&T's resignation, it was already conducting an inquiry into the allegations.

The Florida-based financial content provider added that it had brought in D&T to help it sort out its internal controls, a claim that the auditors found not to "have sufficient basis to agree or disagree" with.

Financialweb's financial officer resigned 16 days after the departure of the auditor. The firm, which is looking for a new auditor, said that the company, its officers and directors were not involved in any wrongdoing, nor were they alleged to have been involved.

Wait, there's more!
There's always more at AccountingWEB. We're an active community of financial professionals and journalists who strive to bring you valuable content every day. If you'd like, let us know your interests and we'll send you a few articles every week either in taxation, practice excellence, or just our most popular stories from that week. It's free to sign up and to be a part of our community.
Premium content is currently locked

Editor's Choice

As part of our continued effort to provide valuable resources and insight to our subscribers, we're conducting this brief survey to learn more about your personal experiences in the accounting profession. We will be giving away five $50 Amazon gift cards, and a $250 Amazon gift card to one lucky participant.
This is strictly for internal use and data will not be sold
or shared with any third parties.