Of Counsel Margaret G. Nelson was quoted in a Bloomberg Law article, "SEC Accounting-Enforcement Cases Tumble in 2018
," about a drop in the overall number of financial reporting related cases this year compared to 2017.
Nelson said accounting fraud cases are very complex and can take a long time to process. Auditor-focused cases have also dropped, she said, even though SEC officials say that gatekeepers, including auditors, remain a focus.
"We saw plenty of fraud cases or material misstatement cases brought against the issuer," she said. "But you didn't see a companion case brought against the auditor."