PwC criticised by US regulator

City A.M. Reporter
THE US regulator of corporate auditors criticised PricewaterhouseCoopers yesterday for not doing enough to ensure that its audits were properly carried out, in a rare public reprimand of a major accounting firm.

The Public Company Accounting Oversight Board (PCAOB) faulted PwC for not promptly addressing quality control problems detected by the board in inspections of some 2007 and 2008 PwC audits, such as sub par supervision and review of audit work. Only once before has the PCAOB made public a report criticising quality controls at a Big Four audit firm.

In a statement attached to the PCAOB report, PwC said it had taken steps to respond to the concerns, including improving audit tools.