As I said, BDO (or any accounting firm) has the option to file a letter with the SEC, I'm just told that it is not a REQUIREMENT of the SEC or the AICPA. It may be a requirement of Grant Thornton or BDO or any number of other firms. As stated before, this is common (and often necessary) CYA on their part. If I was in their shoes, I'd file a letter with the SEC for the same reason.
As for a review, the term "review" typically refers to a "financial review", essentially one-step removed from an certified audit, which is the the highest level of attestation available on this planet. However, the term "review" can mean other things too. My point was BDO did not do a financial review of BDO, its engagement per PR and other statements was to examine the security instrument (CD) and determine its valuation. Statements from lead counsel for the deal, and apparent agreement by the Buyer of CRIC, was that BDO overstepped its responsibility in a way what would have been embarrassing if they did not withdraw.
What BDO did or did not do is not exactly relevant right now. The CRIC deal went through. BDO covered itself. Both Buyer and Seller are happy. Unless there has been a violation of securities laws or rules - WHICH HAS NOT BEEN IMPLIED OR STATED BY BDO OR ANYONE ELSE, this chapter in GIFS fades away in a few weeks.
Tonto, I was not challenging whether you know the difference between a "review" and an "audit". Your post and others were confusing the purpose and extend of the BDO engagment. I sought to clarify as well as point out the "filing a letter with the SEC" as less dire than some may have seen it. GIFS attornies are paid to deal with this administrivia.
Also, my answer too was to pass along a clarification of "facts" to Carl and others.
And the adventure continues... |
