State Board Report
Christopher J. Kelly and Margaret Hebb, both associated chartered accountants in the United Kingdom, have been suspended from appearing or practicing before the SEC as accountants for at least two years as a result of their part in the Ernst & Young, LLP UK’s audits of Thornton Precision Components (TPC) in Indiana. TPC is a subsidiary of Symmetry Medical Inc. of Sheffield, England, which is listed on the New York Stock Exchange. The SEC alleged that four of the company’s executives systematically understated expenses and overstated assets and revenues at TPC, which materially distorted Symmetry’s financial statements for a three-year period, fiscal years 2004-2006.
The two outside auditors, formerly of Ernst & Young LLP UK, agreed to suspension for their deficient audits. According to the SEC, the accountants failed to properly audit TPC’s accounts receivable balances and inventory. The SEC acknowledged the assistance of the United Kingdom’s Financial Services Authority in this case.
- MEMBER CENTER