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HKSA under fire over 'clerical error' fine

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Jane Moir

Hong Kong's accountancy regulator has come under attack in the Court of Appeal after fining a member HK$250,000 for a 'mere clerical error' in a case tainted by allegations of bias.

Peter Chan Po-fun is challenging the decision by the Hong Kong Society of Accountants (HKSA) to impose the fine for such an error in a company audit.

He previously tried to block disciplinary proceedings by the society at the High Court.

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Mr Chan was found by an HKSA committee in August to have used the wrong formula in relation to the audit of the financial statements of a private firm.

This was after an anonymous informer, claiming to be an assessor from the Inland Revenue Department, wrote to the HKSA last July about the audit.

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Although the informant was found not to be an employee of the tax bureau, the society continued investigating the audit.

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