Current through Reg. 49, No. 12; March 22, 2024
(a) The board at its sole discretion may
require a firm which has received a rating of pass with deficiencies or fail to
have an accelerated peer review or subject it to any other disciplinary or
corrective action under the Act.
(b) A firm, including a successor firm, which
receives two consecutive reviews on a system or engagement review with ratings
of either pass with deficiencies or fail in any order, or two pass with
deficiencies shall be required to have an accelerated review. If that
accelerated review results in a rating of pass with deficiencies or fail:
(1) the firm may complete attest engagements
for which field work has already begun only if:
(A) prior to issuance of any report, the
engagement is reviewed and approved by a third-party reviewer acceptable to the
chairman of the Technical Standards Review Committee or the Peer Review
Committee; and
(B) the engagement
is completed within 60 days of the acceptance of the peer review report and LOR
by the sponsoring organization; and
(2) the firm shall not perform any other
attest services until given permission by the board and if approved by the
Board may do so only under the supervision of a third-party reviewer approved
by the chair of the Technical Standards Review Committee or Peer Review
Committee; and
(3) the firm may
only perform an attest service not under the supervision of a third-party
reviewer following the recommendation of the Technical Standards Review
Committee or the Peer Review Committee with the board's approval.
(c) A firm, including a successor
firm, which receives two consecutive reviews with a rating of fail on a system
or engagement review shall not perform any other attest services for a period
of three years or until given permission by the board to resume this practice.
The firm may complete attest engagements for which field work has already begun
only if:
(1) prior to issuance of any report,
the engagement is reviewed and approved by a third party reviewer acceptable to
the chairman of the Technical Standards Review Committee or the Peer Review
Committee; and
(2) the engagement
is completed within 60 days of the acceptance of the peer review report and LOR
by the sponsoring organization; and
(3) if approved by the Board, the firm may
perform attest services under the supervision of a third-party reviewer
approved by the chair of the Technical Standards Review Committee or Peer
Review Committee; and
(4) the firm
may only perform an attest service not under the supervision of a third-party
reviewer following the recommendation of the Technical Standards Review
Committee or the Peer Review Committee with the board's
approval.
(d) A firm may
petition the board in writing for a waiver from the provisions of this
rule.
