PCAOB released certain portions of its inspection report
2014-03-13
PricewaterhouseCoopers Kyoto
The U.S. Public Company Accounting Oversight Board (PCAOB) was established by the Sarbanes-Oxley Act of 2002, to oversee the financial statement and internal control audits of companies with securities registered with the U.S. Securities and Exchange Commission. Firms performing such audits must be registered with the PCAOB and are routinely inspected to assess the degree of compliance by the firm with the applicable PCAOB audit requirements. The inspection process includes a review of certain aspects of selected audits to identify whether deficiencies exist with respect to those aspects of the audits, and whether such deficiencies indicate defects in the firm’s system of quality control over audits. The inspection process does not include an evaluation of the financial statements or internal controls of the companies whose audits were selected for inspection.
The PCAOB completed a periodic inspection of PricewaterhouseCoopers Kyoto in February 2013, and consistent with its historical practice, released certain portions of its related inspection report (the Report) on March 12, 2014. In Part 1 – Inspection Procedures and Certain Observations of the Report, the PCAOB identified instances where we did not complete certain audit procedures in accordance with the related requirements. We carefully evaluated each of these findings and immediately undertook appropriate actions as required under both PCAOB standards and our own policies. In no instance did we consider it necessary to revise our conclusions on the companies’ previously issued financial statements or internal controls. Additionally, no restatements of previously issued financial statements were required.
The Firm’s leadership and its partners maintain a strong commitment to audit quality and we will continue to make investments to enhance the quality of our audits. Specific actions we have taken and will continue to take to include:
- Continuing focus on audit quality as our top priority;
- Reinforcing our expectations and requirements for personal responsibility and accountability for audit quality at all levels;
- Enhancing our training programs; and,
- Investing in additional resources with PCAOB and US GAAP expertise.
We appreciate the input received from the inspection process and look forward to continuing our dialogue with the PCAOB with respect to our mutual objective of enhancing audit quality.
Yukihiro Matsunaga, Managing Partner
Toru Tamura, Assurance Leader
About PwC
At PwC, our purpose is to build trust in society and solve important problems. We're a network of firms in 157 countries with more than 223,000 people who are committed to delivering quality in assurance, advisory and tax services.
PwC refers to the PwC network and/or one or more of its member firms, each of which is a separate legal entity.
About PwC Japan Group
PwC Japan Group represents the member firms of the PwC global network in Japan and their subsidiaries. Each firm of PwC Japan Group undertakes its business as an independent and separate corporate entity.
To address complex and diversified business challenges, PwC Japan Group consolidates expertise of assurance, deal advisory, consulting, tax and legal services as well as enhances its structure in order to cooperate organically. As a professional service network with a total number of more than 5,500 partners and staff, PwC Japan Group provides quality client services to meet their needs and expectations.
Related Content
Brexit’s potential impacts on and opportunities for Japanese insurers
PwC's view towards how Brexit will impact Japanese Insurance companies
Research & Insights
Our professionals share their insights on various fields of expertise and topics of keen interest both inside
Office Map
Office locations of PricewaterhouseCoopers Kyoto.
Contact us
Follow us
© 2004 - Mon Jan 27 03:36:49 UTC 2020 PwC. All rights reserved. PwC refers to the PwC network and/or one or more of its member firms, each of which is a separate legal entity. Please see www.pwc.com/structure for further details.