Investigation Results/Statistics
2007
In carrying out its mission "to promote dependable, accessible financial information" the Board is responsible for investigating complaints against CPAs, CPA-Inactive certificateholders, and CPA firms. Complaints can originate from clients, other CPAs, federal or state regulators, or identified through agency oversight and review programs. Complaints result from allegations of technical errors, or ethical or legal violations. The Board has closed 154 cases during 2007. Complaints or inquiries originated from the following sources:
Source |
Percent |
|
| Agency oversight programs | 49 |
32% |
| Clients | 28 |
18% |
| Employer/Employee | 5 |
3% |
| Other CPA's | 12 |
8% |
| Media | 1 |
1% |
| Miscellaneous | 43 |
28% |
| Anonymous | 10 |
6% |
| Federal, state, local or foreign jurisdiction | 4 |
3% |
| Self-reported | 2 |
1% |
The 154 cases closed during 2007 resulted from the following allegations:
| Use of title or holding out in public practice by a nonCPA or non WA CPA | 15 |
8% |
| Issuance or offering to issue audit, review, or compilation report by unauthorized individual | 5 |
3% |
| Records retention | 6 |
5% |
| Noncompliance with technical standards including Quality Assurance Review | 15 |
7% |
| Noncompliance with code of conduct including conflict of interest | 3 |
1% |
| Failure to respond to Board oversight/inquiries | 11 |
3% |
| Failure to meet/substantiate CPE | 30 |
22% |
| Use of title or holding out in public practice with a lapsed license/certificate or no CPA firm license | 44 |
31% |
| Good character determination for initial licensure | 1 |
1% |
| Sanction/denial of practice privilege by a federal, state, local or foreign jurisdiction | 1 |
1% |
| Felony/misdemeanor conviction/disbarment | 3 |
1% |
| Embezzlement, fraud, dishonesty, or negligence | 3 |
3% |
| Fiduciary malfeasance or breach of fiduciary duties/disbarment | 3 |
3% |
| Failure to complete engagement | 3 |
2% |
| Failure to pay individual federal income taxes | 1 |
1% |
| Misleading advertising | 1 |
1% |
| Misrepresentations/fees | 1 |
1% |
| Tax Errors | 6 |
4% |
| Court Declared Incapacitation | 1 |
1% |
| Unauthorized transfer of client information | 1 |
1% |
| Total: | 154 |
100% |
The Board resolved the 154 cases during 2007 as follows:
| Closed via Board Order | 74 |
43% |
| Lack of evidence of violation | 31 |
22% |
| Death of licensee | ||
| Administrative Sanctions Imposed | 48 |
34% |
| Administrative Close-May reopen | 1 |
1% |
See Also:
2007 License and certificate suspensions (including stayed suspension) and revocations