The Financial Reporting Council has delivered a Formal Complaint in connection with the conduct of an advisor firm, following an investigation that started in 2010.

 

The Body's Executive Counsel has issued a disciplinary Formal Complaint after concluding an investigation into advisor firm, Baker Tilly Audit UK Audit LLP, which commenced in November 2010. 

 

Baker Tilly, which works with property investors, developers, construction firms, estate agents and surveyors, was investigated by the FRC, which studied the preparation, approval and audit of the financial statements of Tanfield Group plc for the years ended 31 December 2007 and 2008

 

The FRC concluded the investigation by issuing a Formal Complaint upon the conduct of Baker Tilly. This was due to their engagement to audit the financial statements of Tanfield Group plc for the year ending 31st December 2007.

 

The complaint alleges that the conduct of the specialist advisory firm:  “fell significantly short of the standards reasonably to be expected…” and "…failed to act in accordance with the Fundamental Principle of their professional bodies’ Codes of Ethics requiring them  to act with professional competence and due care.”

 

The investigation made by the Executive Counsel of FRC concluded that a disciplinary hearing is desirable in the public interest, due to a realistic prospect that a disciplinary tribunal will make an adverse finding against the Respondent.

 

The Formal Complaint will be passed on to an independent tribunal, where it will be tested at the International Dispute Resolution Centre.

 

According to its website, Baker Tilly works within the property finance market in assisting clients to understand and resolve financial concerns involving the shortage of new finance, the difficulties of refinancing, restructuring and meeting the demands of loan covenant compliance.