PCAOB Issues 2022 Annual Report

On April 5, 2023 the PCAOB released its 2022 annual report, which summarizes the organization’s operations and financial results for the year. The report notes that the PCAOB quadrupled the total dollar amount of penalties imposed against individuals compared to any year in the previous five years and highlights the following “firsts” in the PCAOB’s 2022 enforcement activity: (1) levying the largest penalty against an individual in the PCAOB history ($150,000) for misleading PCAOB inspectors and investigators; (2) settling the first action for failure to supervise personnel under Section 105(c)(6) of SOX; (3) imposing the first sanctions for failing to supervise an unregistered firm; and (4) settling the first action involving both a permanent bar and significant penalty. The report also discusses the PCAOB’s progress in working towards the four strategic goals set forth in its 2022-2026 strategic plan.

The report is available attached.