Following separate applications by ASIC, the Companies Auditors and Liquidators Disciplinary Board (CALDB) has taken disciplinary action against two New South Wales-based auditors, Mr Gregory John Hardy*, whose practice is based in Casino, and Mr Michael John Kane, whose practice is based in Burwood.

The actions were taken after both Messrs Hardy and Kane failed to lodge a Form 912 Annual Statement by an Auditor as required under the Corporations Act (the Act).

The annual statement provides ASIC with information about the currency of the auditor’s practicing capacity, the largest audits in which they played a significant role in the previous 12 months and compliance with registration requirements.

Gregory John Hardy*

Mr Hardy’s registration was cancelled, effective 9 April 2009, after the CALDB found that he had ignored an important statutory obligation of a registered company auditor to file his outstanding annual statement – an obligation of which he was fully aware and which ASIC took all reasonable steps to assist him to fulfil.

[This media release was amended on 19 March 2019 in accordance with ASIC policy - see INFO 152 Public comment on ASIC's regulatory activities.]

Background

The CALDB is an independent statutory body given functions and powers under the Corporations Act (the Act). The CALDB’s disciplinary responsibilities under the Act are intended to provide an incentive to registered auditors and liquidators to maintain high professional standards. The CALDB also has a public protective and educative role by virtue of its jurisdiction to cancel or suspend the registration of an auditor or of a liquidator.

ASIC conducts regular compliance programs to ensure that auditors and liquidators comply with the duties and obligations under the Act, including lodgement of statutory annual statements.

* No action has been taken against Mr Gregory John Hardy, a registered auditor of the same name, who is a partner at HQB Chartered Accountants in Coffs Harbour, New South Wales.