The board of directors of Security and Exchange Commission (CVM) unanimously acquitted the audit company KPMG and the partner Claudio Sertorio in a process that accused them of irregularities in the audit of the 2023 financial statements of the Odontoprevnotably in the validation of BRL 768.8 million of financial investments backed by public bonds.
The process was initiated in 2024 by the Superintendence of Accounting and Auditing Standards (SNC). The prosecution contends that the auditors did not follow Brazilian Accounting Standards (NBC) and did not demonstrate the necessary professional skepticism when validating the ownership of the applications based on the statements provided by the auditee, “ignoring Selic Report No. 013/2012.”
According to the CVM technical area, validation would require statements generated directly in the Selic system, with a digital signature, to guarantee the authenticity and independence of the evidence.
At trial, the defense argued that the Selic report constituted optional guidance and not an auditing standard. The auditors rated the risk of distortion as low, given the strong governance, strong internal controls and custody exercised by the Bradescoexternal and independent source of the analyzed extracts.
The defense also argued that NBC TA 501, the main provision invoked by SNC, applies exclusively to physical stocks (tangible assets) and not to financial instruments, which would make their classification impossible.
“These standards, including those cited in the indictment, do not prescribe a mandatory procedure to validate the balance of public securities recognized in the financial investment account,” said lawyer Pablo Renteria.
The accounting rule in question deals with the considerations that the auditor must observe to obtain sufficient and appropriate audit evidence on the items that require special attention in the financial statements. It completes the existence and status of stocks, all disputes, claims involving the entity, as well as the presentation and dissemination of information by segments.
For the rapporteur, director Marina Copola, the auditors acted within the limits of the professional judgment provided for by the auditing standards, with an adequate assessment of risks, an understanding of internal controls and the obtaining of external evidence deemed sufficient and appropriate. “Adopting an audit approach proportionate to the identified risk cannot be confused with the absence of critical thinking,” he said.
The vote took place in the presence of director João Accioly, who cast his vote, and the interim president, director Otto Lobo.
Contacted, KPMG and the defense only responded to the publication of this text.
About The Author
