The scope of the independent external review will include record-keeping, supervision and compliance arrangements.
During surveillance of one of Allied's authorised representatives, ASIC found the licensee failed to keep advice records, and also found holes in compliance processes and procedures.
Further, ASIC found Allied didn't adequately supervise the relevant authorised representative, and advice audits were not conducted.
The corporate regulator acknowledged Allied's cooperation and constructive action to address its concerns.
ASIC is likely to be taking no prisoners in the wake of the royal commission, and in line with warnings about licensee compliance procedures since the end of the accountants exemption.
Some fear that well-meaning firms will be caught out by ASIC's wide net.
“If you look under the hood of any business, there’s always going to be something they could have done better, and that’s not to say that they’re not a good business,” said Licensing for Accountants chief executive, Kath Bowler.
“They don’t want to get caught up in having their names tarnished just because ASIC needs to go and find fault. That’s really not getting to the heart of the issue,” she said.
The not-to-be-missed Accountants Daily Strategy Day will travel through Melbourne and Sydney in August to equip accounting professionals with the latest industry updates and tips for modern practice management as well as the latest cutting-edge technology, processes, strategies and trends shaping the future of accounting. Visit the website for more information: www.accountantsdaily.com.au/strategy-day