The PCAOB, the audit industry regulator, shamed
global audit firm Deloitte recently when they exposed the private portion
of the inspection report of the firm's 2006 audits. It was the first time that
had happened to one the Big Four audit firms, the largest firms that audit the
The Securities and Exchange Commission is rattling a dull
sabre again towards Shanghai-based Deloitte Touche Tohmatsu CPA Ltd. for its
refusal to provide the agency with audit work papers related to Longtop, a
China-based company under investigation for potential accounting fraud against
Deloitte has settled a shareholder case against the firm stemming from their role as
auditor of Bear Stearn s, one of the early financial services firms to fail,
be force sold or nationalized during the financial crisis of 2008-2009.
Deloitte was dangerously close to having to answer for its actions...