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KPMG Lower Gulf has been fined $30,000 for ineffective systems and controls that led to non-compliance with audit requirements.
Abu Dhabi Global Market (ADGM) said its Registration Authority (RA) imposed the financial penalty after the auditor failed to make sure that only its ADGM-registered audit principals sign audit reports for ADGM entities, despite earlier concerns raised by the authority.
A statement from the Registration Authority’s monitoring and enforcement division said: “The RA will take a robust and proportionate stance where Registered Auditors or Registered Audit Principals breach their obligations.
“ADGM audit firms must implement effective audit systems, controls and procedures that meet the requirements of ADGM’s internationally aligned audit regulatory framework, which in turn contribute to high-quality audits and reinforce trust in corporate financial reporting.”
The authority said it expected adequate steps to be taken to remedy concerns and remedies implemented and monitored to ensure effectiveness.
(Reporting by Imogen Lillywhite; editing by Seban Scaria)
