ASIC has cancelled the registration of Victorian auditor Neil Raymond Turner following an ASIC investigation.

As part of an enforceable undertaking (EU) accepted by ASIC, Mr Turner has undertaken to never reapply for registration or perform any function as an auditor.

ASIC found the work performed by Mr Turner in auditing three companies to be significantly deficient in at least 15 audit areas. The deficiencies related to the 2011 financial year audit for Education Access (Australia) and the 2012 financial year audits for Lotus Securities and Sovereign MF.

ASIC Commissioner John Price said, 'Auditors are important gatekeepers who play a crucial role in maintaining and promoting confidence and integrity in Australia’s financial system. They must maintain high standards or they will be held to account.'

ASIC's investigation found that Mr Turner did not conduct the audits in accordance with the Australian Auditing Standards as he failed, among other things, to:

• design and perform audit procedures for the purposes of obtaining sufficient appropriate audit evidence
• display an appropriate level of professional scepticism, especially when assessing the risk of fraud
• adequately document the results of audit procedures for several areas, including around revenue and the provision of employee entitlements.

Download the EU

Background

ASIC has recently taken action against a number of registered auditors who failed to meet their obligations, including:

• The cancellation of former Victorian auditor Joanne Loh's registration, following a deficient audit of Gippsland Secured Investments (refer: 14-340MR).
• A five year suspension of former Banksia auditor Warren John Sinnott (refer: 14-127MR).
• A three year suspension of Wayne John Wessels, former auditor of whitegoods distributor Kleenmaid (refer: 14-082MR).
• An EU entered into by Martin George Thompson and Allan Ni Kwan Kwok of Wong & Mayes' Chartered Accountants. (refer: 14-028MR).