Disciplinary hearings 2024

Decision (in French only): 2024 QCCDCPA 28

The CPA was found guilty of carrying out audit engagements for travel agencies without taking into account the limits of his skills and knowledge. He was acquitted on these counts:

• Providing inaccurate information in the mandatory annual declaration. Given the wording of the questions, the CPA’s explanations were plausible.
• Failing to keep a backup copy of the file in a separate location from the original file:
  • The Règlement sur la tenue des dossiers et des cabinets de consultation et sur la cessation d'exercice d'un membre de l'Ordre des comptables professionnels agréés du Québec (in French only):  
    • Does not specify the medium on which the copy is to be stored
    • Does not specify where the original file and backup copy must be kept
    • The IT guide contains only general principles and recommendations. Expert evidence is required to demonstrate a deviation from an established standard.
    • The theft of the CPA’s computer was an unforeseeable and irresistible event.

Decision (in French only): 2024 QCCDCPA 26

On two occasions, the CPA hindered the work of the Professional Inspection Committee by entering false information in professional inspection questionnaires: he knowingly failed to declare an audit engagement. He was struck off the roll for 60 days.

Decision (in French only) : 2024 QCCDCPA 27

The CPA failed to comply with the requirements of the refresher training ordered by the Executive Committee:

• He failed to take a course.
• He delivered review engagement reports without having them reviewed by his training supervisor.

The CPA also hindered the syndic’s work. He was struck off the roll for five months, including two months for hindering the syndic’s work.

Decision (in French only):  2024 QCCDCPA 23

The CPA failed to comply with the standards applicable to review engagements and retain emails exchanged with a company’s internal CPA with respect to those engagements. The Disciplinary Council acknowledged the CPA’s agreement to permanently renounce his auditor’s permit and to never reapply for a public accountancy permit from the Order. He was struck off the roll for five months and ordered to pay disbursements (including expert fees limited to $25,000).

Decision (in French only):  2024 QCCDCPA 21

The CPA signed the audit report for an NFPO without holding a public accountancy permit and falsely declared in his mandatory annual declaration that he did not practise public accountancy. He was struck off the roll for 90 days and fined $2,500.

Decision (in French only): 2024 QCCDCPA 20

In a text message exchange with a friend working for a government agency, the CPA made less than complimentary comments about the tax situation of one of his employer’s corporate clients. In so doing, the CPA failed to act with dignity and damaged the good reputation of the profession, even though the communication was private. The Disciplinary Council imposed a fine of $5,000, noting the seriousness of the violation, the isolated nature of the act, the absence of any previous disciplinary record and the low risk of a recurrence.

Decision (in French only): 2024 QCCDCPA 29

By asking six clients to commit to remaining clients of his firm for seven years, imposing a $25,000 penalty for each full year not completed, the CPA failed to act with dignity and adopted a method likely to damage the profession’s reputation. He was fined $10,000.

Decision (in French only): 2024 QCCDCPA 17

For two years, the CPA produced an audit report without holding a public accountancy permit. He made false statements to the Order and failed to honour his undertaking not to practise public accountancy without a permit. He was struck off the roll for five months and fined $5,000.

Decision (in French only): 2024 QCCDCPA 18

The CPA has been convicted on two occasions for driving a motor vehicle while prohibited from doing so. These are criminal offences that have a connection with practising the CPA profession. The CPA was struck off the roll for two months.

Decision (in French only): 2024 QCCDCPA 16

The CPA produced two audit reports for an NFPO without holding a public accountancy permit and falsely stated in his mandatory annual declaration that he did not practise public accountancy. He was struck off the roll for 30 days and fined $2,500.

Decision (in French only): 2024 QCCDCPA 15

By retaining the services of a municipality’s former assistant general manager as part of her firm’s assurance team to carry out the municipality’s audit engagements, the CPA breached her duty of independence. The CPA also hindered the work of the assistant syndic by falsely claiming that the former assistant manager had never been part of the assurance team for the municipality. She was struck off the roll for 60 days.

Decision (in French only): 2024 QCCDCPA 14

The CPA failed to demonstrate diligence by filing tax returns late and responding late to various client requests. The fact that some clients did not suffer any negative consequences is not a mitigating factor. The CPA had already received three warnings from the Office of the syndic for similar infractions. The CPA also committed an act derogatory to the dignity of the profession by contacting a party requesting an investigation to ask them to withdraw their request. The Disciplinary Council struck the CPA off the rolls for two months and acknowledged his commitment to take time management training and attend coaching sessions.

Decision (in French only): 2024 QCCDCPA 13

The CPA told employees of the Order that he did not offer professional services to third parties, but this was not true. On several occasions, he spoke inappropriately and rudely to employees of the Order. He also hindered the work of the assistant syndic by lying about the actual balance in his bank account and falsifying a confirmation of a money transfer. He was struck off the roll for five months.

Decision (in French only): 2024 QCCDCPA 11

CPA was convicted of 34 counts of the criminal offence of luring a minor and 2 counts of producing child pornography. This judgment is connected to practising the profession. The CPA did not inform the Order of the existence of this lawsuit and the judgment rendered against him. He was struck off the roll for 11 months. The CPA’s right to practise is also limited: for 7 years, he is prohibited from providing professional services to individuals under 18 unless certain conditions are met.

Decision (in French only): 2024 QCCDCPA 12

The CPA was found guilty of :

• preparing and signing several review engagement reports without having carried out all the necessary work and without having created or kept a file.
• demonstrating a lack of independence and objectivity in producing a review report for a company of which he was a shareholder and director.
• hindering the work of the Professional Inspection by falsely stating that he did not carry out review engagements.
• hindering the work of the Office of the syndic by providing inaccurate information and falsified documents, and by refusing to send complete files.

He was struck off the roll for eight months and fined $7,500.

Decision (in French only): 2024 QCCDCPA 10

While serving as general manager of an early childhood centre (CPE), the CPA used public funds to pay personal expenses and give gifts to CPE employees and administrators. He has also failed to diligently produce reports required by the government. He was struck off the roll for four years.

Decision (in French only): 2024 QCCDCPA 9

On two occasions, the CPA indicated in his mandatory annual declaration that he did not carry out review engagements, when this was untrue. He also hindered the work of the Professional Inspection by falsely stating that he did not carry out review engagements. He was struck off the roll for 60 days and fined $5,000.

Decision (in French only): 2024 QCCDCPA 8

The CPA was found guilty of hindering the assistant syndic’s work by repeatedly refusing to respond to his communications. Failing to cooperate with the syndic is not a minor offence. Hindering its work prevents the Order from fulfilling its mission of protecting the public. What’s more, the CPA has a disciplinary record for obstruction, and the risk of him committing a repeat offence is high. He will be struck off the Order’s roll for eight months if he is entered on it again.

Decision (in French only): 2024 QCCDCPA 4

On August 25, 2023, the CPA was found guilty of: 

• misplacing or permitting the misplacement of cash in excess of $46,000 entrusted to her by her client;
• making misrepresentations to her client; 
• falsifying and fabricating documents to support these misrepresentations;
• entering into an agreement with the client to avoid filing a request for investigation with the syndic, in exchange for money; and
• obstructing the work of the syndic. 

In view of the seriousness of the alleged repeated acts, she was struck off the roll for 25 months. 

In addition, the CPA has undertaken to stop accepting mandates related to monetary transactions or money management.

For the decision on guilt, see 2023 QCCDCPA 21.

Decision (in French only): 2024 QCCDCPA 5

The CPA was found guilty by the Court of Québec of violating the Tax Administration Act, after failing to file his income tax return despite a peremptory request to do so. This is an act derogatory to the dignity of the profession. 

However, this was an isolated incident. The CPA showed introspection and paid the fine imposed by the Court. The risk of recurrence is low. Public protection is not compromised. The CPA was reprimanded.

Decision (in French only): 2024 QCCDCPA 2

The complaint makes serious allegations. All indications are that the CPA:

• prepared and signed review engagement reports without having performed all the necessary work and without having created or kept a file;
• lacked independence and objectivity in producing a review report for a company of which he was a shareholder and director;
• hindered the work of the professional inspector by falsely stating that he did not carry out any review engagements;
• hindered the work of the Office of the syndic by not providing complete copies of his files.

The Disciplinary Council is of the opinion that by continuing to practice his profession, the CPA is endangering the public. He was immediately struck off the roll temporarily.

For the decision on guilt and penalty, see 2024 QCCDCPA 12.

Decision (in French only): 2024 QCCDCPA 3

The CPA was found guilty of three criminal offences:

• communicating with a minor by means of technology for the purpose of committing sexual offences;
• accessing child pornography;
• transmitting sexually explicit material to that minor for the purpose of committing sexual offences.

In 2023, the Disciplinary Council ruled that these offences were related to the practice of the profession. He has now been struck off the roll for four months.

For the decision under section 149.1 of the Professional Code, see 2023 QCCDCPA 28.  

Decision (in French only): 2024 QCCDCPA 1

The CPA was found guilty of having prepared and signed several audit reports for an early childhood centre (ECC) without conducting the necessary checks on the ECC and without ensuring that everything was in order. In fact, he carried out a compilation engagement rather than an audit. He was also found guilty of hindering the work of the Professional Inspection Committee by failing to inform the committee that he had carried out audit engagements on several occasions.

He was struck off the roll for three months.