Action against Respondents, two certified public accountants and their firm, for alleged violations of auditor independence requirements.  According to the SEC, one Respondent accountant, who was previously permanently enjoined from practicing before the SEC, violated independence requirements by performing duties as an Engagement Quality Reviewer on broker-dealer audits for which his daughter was the financial and operations principal.  The SEC alleges that the other Respondent accountant permitted this practice in his capacity as engagement partner and directed the firm to falsely certify that its audit reports were independently conducted in accordance with PCAOB standards.

SEC Order