Audit cross review in PCAOB matter
Brattle worked on behalf of a Big 4 accounting firm who, along with another firm, performed a joint audit of an international telecom company. Brattle’s client was responsible for a cross review of the other firm’s audit procedures. The PCAOB questioned whether members of the audit team from Brattle’s client, including the engagement partner and the engagement quality reviewer, had properly reviewed and agreed that the other firm’s audit procedures were reasonable and adequate, prior to the audit firms’ release of an unqualified joint audit report. Brattle supported a former Big 4 audit partner (from a third Big 4 firm) who opined that Brattle’s client had in fact properly reviewed and agreed in accordance with PCAOB auditing standards. The parties settled.
