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Japan's Audit Oversight Board Urges Sanctions on Shido Over Missed Alt Inc. Fraud

  • Policy & Regulation
  • Funding & M&A

Japan's Certified Public Accountants and Auditing Oversight Board (CPAAOB) recommended on September 11 that the Financial Services Agency (FSA) impose administrative punishment on Shido, the Yokohama-based audit firm that certified the books of collapsed artificial-intelligence developer Alt Inc. The board, which inspects Japanese audit firms on the FSA's behalf, said its review turned up deficiencies it called wide-ranging and numerous, though it stopped short of specifying a penalty, leaving that decision to the FSA.

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