Overview

Under the Accounting and Financial Reporting Council Ordinance (“AFRCO”), the AFRC has disciplinary powers over PIE auditors, registered responsible persons and professional persons (i.e. CPAs and practice units) (collectively, “regulatees”).

The Discipline Department is responsible for carrying out the disciplinary function of the AFRC. It will take appropriate and timely disciplinary action in cases of FR misconduct or CPA misconduct by imposing commensurate sanctions for the purposes of deterrence, investor protection, maintaining market confidence in the quality of financial reporting and audits, and upholding the standards of conduct among regulatees.

For an understanding of the legal framework under the AFRCO, the objectives of discipline and the sanction powers of the AFRC, please refer to the Discipline Policy Statement for PIE Auditors and Registered Responsible Persons and Discipline Policy Statement for Professional Persons.

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Discipline Guidance Materials

Frequently Asked Questions