Christopher E. Anderson Case Summary
Background Introduction
This case is mainly talking about how Deloitte & Touche LLP allowed its former partner, Christopher E. Anderson continue to work at Deloitte under the period of suspension. Christopher E. Anderson is a certified public accountant who is licensed in Washington. He is a former partner and an agent of the Deloitte’s Chicago. Deloitte & Touche LLP is one of the largest four public accounting firms. It is organized as a limited liability partnership and its headquarters is located in New York.
On October 31, 2008, Public Company Accounting Oversight Board (PCAOB) released the Anderson Order. The company was suspended for one year due to the violation of the PCAOB rule and auditing standard when he worked as the engagement partner for auditing the financial statement of Navistar Financial Corporation (NFC). Considering there was a $ 19.7 million in errors that caused overstates on the NFC’s assets and earnings, the auditor still issued a clean opinion on …show more content…
However, Deloitte didn’t make any specific procedures and policies to make sure that he has not been to work as associated person during the suspension year. During that time Deloitte made a settlement with PCAOB, Anderson was transferred from Deloitte’s Chicago office to the Audit and Assurance Service (“A&AS”) Group within the firm’s Nation office in 2008. The key responsibilities of the A&AS Group provide consultation to all audit engagement teams and develop Deloitte’s audit policies and guidance. In spring 2008, Anderson was appointed as director in Nation office. This transference and nomination were approved by Deloitte’s Leadership Oversight Committee (“LOC”), even though LOC knew Anderson was subjected to a PCAOB-ordered
This case is mainly talking about how Deloitte & Touche LLP allowed its former partner, Christopher E. Anderson continue to work at Deloitte under the period of suspension. Christopher E. Anderson is a certified public accountant who is licensed in Washington. He is a former partner and an agent of the Deloitte’s Chicago. Deloitte & Touche LLP is one of the largest four public accounting firms. It is organized as a limited liability partnership and its headquarters is located in New York.
On October 31, 2008, Public Company Accounting Oversight Board (PCAOB) released the Anderson Order. The company was suspended for one year due to the violation of the PCAOB rule and auditing standard when he worked as the engagement partner for auditing the financial statement of Navistar Financial Corporation (NFC). Considering there was a $ 19.7 million in errors that caused overstates on the NFC’s assets and earnings, the auditor still issued a clean opinion on …show more content…
However, Deloitte didn’t make any specific procedures and policies to make sure that he has not been to work as associated person during the suspension year. During that time Deloitte made a settlement with PCAOB, Anderson was transferred from Deloitte’s Chicago office to the Audit and Assurance Service (“A&AS”) Group within the firm’s Nation office in 2008. The key responsibilities of the A&AS Group provide consultation to all audit engagement teams and develop Deloitte’s audit policies and guidance. In spring 2008, Anderson was appointed as director in Nation office. This transference and nomination were approved by Deloitte’s Leadership Oversight Committee (“LOC”), even though LOC knew Anderson was subjected to a PCAOB-ordered