In a statement, ASIC stated it also disqualified two SMSF auditors whose applications for registration had overstated the number of SMSF audit reports they had issued in the preceding 12 months, to avoid the requirement to sit the competency exam.
Of the 440 auditors whose registration was cancelled, 373 did not attempt the exam and 67 did not pass the exam, ASIC stated.
Auditors were given up to two attempts to pass the exam and ASIC extended the period to pass the exam to 31 August 2014.
“As the SMSF sector continues to grow in popularity with Australian investors, it is critical that SMSF auditors play their key gatekeeping role,” said ASIC commissioner Greg Tanzer.
“ASIC will continue to administer the registration process to assure Australians that SMSF auditors at least meet base standards of competency and expertise.”
ASIC said those SMSF auditors who have had their registrations cancelled can re-apply for registration if they have passed the competency exam in no more than two attempts over the preceding 12 months.
“ASIC and the ATO work closely together as co-regulators of SMSF auditors. The ATO monitors SMSF auditor conduct and may refer matters to ASIC for possible disqualification or suspension of their registration,” ASIC stated.
Great another 10% reduction in the already dwindling ranks of registered auditors what a great policy outcome. No doubt the remaining Auditors will be happy with the reduction of numbers to such an extent that they will be able to literally charge whatever they want as those with mandatory requirements for an audit have no choice to pay the ever increasing fees as a result of the anti competitive policies maintained by the ASIC to try to make up for their poor performance in engaging with the profession to ensure sustainable industry outcomes just as they have failed to engage effectively with investment advisers. The soon the Government puts the cleaners through the ASIC and break up the outdated monolith in to more responsive industry based and industry funded supervisory organisations resourced by professionals with hands on ground roots experience the better.