A former BDO auditor has been barred for 20 years following a series of misconduct.
- Amanda Nightingale’s actions included unauthorised use of partner signatures and falsifying documents.
- The Financial Reporting Council (FRC) found her conduct ‘extremely serious’ and dishonest.
- Nightingale’s activities spanned five years and involved multiple audits of smaller firms.
- The FRC has imposed sanctions, including a 20-year exclusion from ICAEW.
Amanda Nightingale, previously a senior auditor at BDO, has been prohibited from accountancy for two decades. Her actions, which took place between 2015 and 2019, were deemed by the Financial Reporting Council (FRC) as ‘severely short’ of professional standards.
During her tenure, Nightingale reportedly caused or permitted auditor reports to be issued without gaining approval from the relevant audit engagement partner. This included inserting electronic copies of partner signatures into audit reports and related documents without authorisation, thus bypassing necessary checks.
The investigation revealed that Nightingale was involved in creating and falsifying documents, which included submitting false audit evidence. Her actions deceived numerous audit engagement partners and the entities being audited, casting a shadow over her professional integrity.
The FRC deemed the misconduct extremely serious due to its prolonged nature and the potential impact on the audit profession’s reputation. Most of the affected businesses were smaller, private companies, yet the scale of deception was immense.
As a result, Nightingale was excluded from the Institute of Chartered Accountants in England and Wales (ICAEW) for 20 years and subjected to a severe reprimand. Additionally, she was ordered to pay £10,000 towards the investigation’s costs, taking her financial situation into account.
Further scrutiny is taking place as the FRC’s Proposed Formal Complaints (PFCs) filed against BDO and two former audit partners reveal systemic issues. BDO has since implemented significant changes, monitored by the FRC, to prevent such occurrences in the future.
Jamie Symington, the deputy executive counsel, emphasised the gravity of Nightingale’s misconduct, stating it posed a risk to the confidence in auditing. He highlighted the critical need for transparency and accountability to maintain public trust in financial reporting.
This case underscores the vital importance of integrity within the audit profession to maintain trust in financial reporting.
