News Centre

The AFRC has imposed sanctions on Ting Ho Kwan & Chan (THKC), Mr Chan Shu Kin, Ms Chan Kwan Ying and Mr Wong Kam Chuen for serious deficiencies in the audits of a Hong Kong listed company, REXLot Holdings Limited (in liquidation), for the years ended 31 December 2013 and 31 December 2014. 

The engagement team from THKC, led by Mr Chan as the engagement partner, repeatedly failed to exercise an appropriate level of professional scepticism and consequently issued unmodified audit opinions without sufficient appropriate audit evidence.  Ms Chan and Mr Wong had been appointed as the engagement quality control reviewers for the audits, but failed to identify the lack of sufficient appropriate audit evidence.      

Given the seriousness of the misconduct, the AFRC has reprimanded each of these regulatees and imposed pecuniary penalties totalling HK$1,755,000.  

For details, please click here.