The Australian Securities & Investments Commission (ASIC) reported that Nexia Perth Audit Services Pty Ltd, an authorised audit company, has paid AUD 78,250 to comply with an infringement notice after ASIC formed reasonable grounds to believe the firm failed to conduct a listed company audit in accordance with APES 110 Code of Ethics for Professional Accountants (including Independence Standards). ASIC alleges that a network firm of Nexia Perth Audit provided prohibited tax calculation services to the listed company, including preparing current and deferred tax liabilities and assets, while it was an audit client. The relevant non-assurance fees were estimated at AUD 4,500, and ASIC said the services can create a self-review threat to auditor independence; payment of the infringement notice is not an admission of guilt or liability. The matter was identified through ASIC’s proactive surveillance focused on auditor independence and conflicts of interest, and ASIC said it will soon publish findings from this review and expects to announce further action arising from issues identified.
Australian Securities & Investments Commission 2025-10-01
Australian Securities & Investments Commission issues infringement notice as Nexia Perth Audit pays AUD 78,250 over alleged breach of auditor independence rules
Nexia Perth Audit Services Pty Ltd paid AUD 78,250 to settle an ASIC infringement notice for allegedly breaching the APES 110 Code of Ethics during a listed company audit. ASIC claims a Nexia Perth Audit network firm provided prohibited tax services to the audit client, posing a self-review threat to auditor independence. This issue was identified through ASIC's proactive surveillance on auditor independence, with further findings and actions expected soon.