The SEC reinstated an accountant who was suspended from practicing before the Commission due to allegations that he engaged in "a number of improper accounting practices in contravention of generally accepted accounting principles that materially misstated [a computer company's] financial results and enabled the company to report lower operating expense as a percentage of revenue." The order was issued in response to the accountant's application for reinstatement to practice "as an accountant responsible for the preparation or review of financial statements required to be filed with the Commission."
In his application for reinstatement, the accountant agreed to:
- have any action that he undertakes as a member of the audit committee subjected to the scrutiny of the full audit committee, and will have no function or responsibility independent of the audit committee as a whole;
- not accept any delegation of authority to act on behalf of the chair of the audit committee or the audit committee as a whole; and
- not serve as chair of an audit committee, absent review by the Office of the Chief Accountant.
The SEC specified that the accountant is not, at this time, seeking to appear or practice as an independent accountant before the SEC. The SEC established that if the accountant wishes to do so at any time in the future, he must submit an application showing that he has complied and will comply with the terms of the original suspension order issued in this case.
Chair Mary Jo White and Commissioner Michael S. Piwowar approved the reinstatement, while Commissioner Kara M. Stein did not, according to the SEC's "Final Commission Votes" Webpage.
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