First of all, you need to understand whether or not your concerns amount to a real issue or not. Just because you may have noticed an irregularity doesn't mean that this involves intentional or reckless conduct. Nevertheless, you do have obligations under Section 10A of the Exchange Act.
Now that the SEC has served a subpoena on you, what does it mean and what should you do in response? The investigation is most likely centered on your audit client, but the SEC will certainly be assessing what the auditor learned and what, if anything, the auditor did about the issue. To learn more about what your obligations are and what you should (and should not) do in response to any government subpoena, click the button below.
SEC investigations tend to be prolonged and intrusive. Although no two investigations are exactly alike, the SEC process does impose a certain sequence that is generally applicable to all investigations. It can be very helpful to understand the phases of an SEC investigation and the likely next steps.
Retaining outside counsel with expertise in handling an SEC and/or DOJ investigation is frequently the right move at the outset of such an investigation. You want the benefit of experienced counsel when the government has decided to review your and your employees' actions.
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