🚀🤣 In the world of DeFi and Web 3, Prager Metis, the former auditing firm of bankrupt crypto exchange FTX, is being accused by the U.S. Securities and Exchange Commission (SEC) of violating auditor independence rules, according to a court filing filed Friday.
😂 The SEC alleges that the firm helped its clients — including 62 entities registered with the regulator — break federal securities laws. The SEC wants to take action against the auditor and have him recover profits from illegal activities.
🤑 Prager Metis oversaw FTX's international arm and generated $1 billion in revenue in 2021. But the SEC's complaint focuses not on the auditor's connections to FTX but on the firm's dealings with numerous clients.
🤔 According to Friday's filing, Prager Metis violated auditor independence standards by entering into agreements containing indemnification provisions that agreed to exempt Prager from liabilities and costs arising from clients' services related to "knowingly misrepresentations by management."
👩💻👨💻 The SEC claims the auditor has been aware of these violations since at least January 2019. Share your comments and thoughts in the comments section below!#DeFi#Web3#FTX#SEC
😂 The SEC alleges that the firm helped its clients — including 62 entities registered with the regulator — break federal securities laws. The SEC wants to take action against the auditor and have him recover profits from illegal activities.
🤑 Prager Metis oversaw FTX's international arm and generated $1 billion in revenue in 2021. But the SEC's complaint focuses not on the auditor's connections to FTX but on the firm's dealings with numerous clients.
🤔 According to Friday's filing, Prager Metis violated auditor independence standards by entering into agreements containing indemnification provisions that agreed to exempt Prager from liabilities and costs arising from clients' services related to "knowingly misrepresentations by management."
👩💻👨💻 The SEC claims the auditor has been aware of these violations since at least January 2019. Share your comments and thoughts in the comments section below!#DeFi#Web3#FTX#SEC