SEC Press pdf 43 KB 2,059 chars

IN THE MATTER OF CARL S. SANKO, CPA

summary

Carl S. Sanko, a CPA, was charged by the SEC with violating the Sarbanes-Oxley Act by issuing an audit report for a public company in 2004 without PCAOB registration, facing potential censure or permanent bar.

paragraph

The SEC initiated administrative proceedings against Carl S. Sanko, CPA, for preparing and issuing an audit report on a public company's 2004 financial statements without registering with the PCAOB, violating Section 102(a) of the Sarbanes-Oxley Act. The alleged violation occurred despite the registration requirement being effective since October 22, 2003. Sanko faced potential sanctions, including censure or being temporarily or permanently denied the privilege of appearing or practicing before the Commission as an accountant.

narrative

The U.S. Securities and Exchange Commission (SEC) instituted administrative proceedings against Carl S. Sanko, a CPA, for issuing an audit report on a public company's 2004 financial statements without being registered with the Public Company Accounting Oversight Board (PCAOB). This action violated Section 102(a) of the Sarbanes-Oxley Act, which required registration after October 22, 2003. The SEC alleged that Sanko willfully engaged in unqualified professional conduct by representing clients in an audit capacity despite lacking mandatory registration. The proceedings were initiated under Sections 4C(a)(1) and 4C(a)(3) of the Securities Exchange Act and Rule 102(e) of the Commission's Rules of Practice. A hearing was scheduled before an administrative law judge to determine the truth of the allegations and appropriate sanctions. The potential sanctions included censure or temporary or permanent denial of the privilege of appearing or practicing before the Commission as an accountant. The initial decision was due within 300 days of the order's service. No specific dollar amounts or financial misstatements were cited, as the violation pertained solely to regulatory non-compliance.

Enriched metadata

Scheme
unregistered-securities (100%)
Classified unregistered-securities(confidence 100%). EDGAR detection: forms Form D/S-1· recall 41% / precision 30%. detection rule →
Statutes
Section 4C of the Securities Exchange ActSections 4C(a)(1) and 4C(a)(3) of the Securities Exchange ActSections 4C(a)(1) and 4C(a)(3) of the Securities Exchange ActSections 4C(a)(1) and 4C(a)(3) of the Securities Exchange Act
Parties
Securities and Exchange CommissionCarl S. Sanko
Keywords
sankosecurities exchangeordercarl sankocommissionmatter carlexchange commissionsecuritiesexchangemattercarlcpaadministrativecommission rulesrules practice

Extracted insights

Entities 3
  • person Carl S. Sanko
  • organization Public Company Accounting Oversight Board
  • agency the united states securities and exchange commission
Triples 6
  • The United States Securities and Exchange Commission Announced the issuance Order Instituting Administrative Proceedings Pursuant to Section 4C of the Securities Exchange Act of 1934 and Rule 102(e) of the Commission’s Rules of Practice
  • The Order Alleges that Sanko prepared Audit report on the financial statements of a public company in 2004
  • The Order Alleges that Sanko lacked Requisite qualifications to represent others
  • The Order Alleges that Sanko willfully violated Section 102(a) of the Sarbanes-Oxley Act
  • The Order Institutes proceedings against Sanko Pursuant to Sections 4C(a)(1) and 4C(a)(3) of the Securities Exchange Act of 1934 and Rule 102(e)(1)(i) and 102(e)(1)(iii) of the Commission’s Rules of Practice
  • The Order Directs the Administrative Law Judge To issue an initial decision in this matter no later than 300 days from the date of service of the Order
Text layers
Extracted body text (2,059c)

U.S. SECURITIES AND EXCHANGE COMMISSION 

Washington, D.C. 

SECURITIES EXCHANGE ACT OF 1934 
Release No. 56428 / September 13, 2007 
ACCOUNTING AND AUDITING ENFORCEMENT 
Release No. 2708 / September 13, 2007 
ADMINISTRATIVE PROCEEDING 
File No. 3-12789 
IN THE MATTER OF CARL S. SANKO, CPA 
The United States Securities and Exchange Commission (Commission) announced the 
issuance of an Order Instituting Administrative Proceedings Pursuant to Section 4C of the 
Securities Exchange Act of 1934 and Rule 102(e) of the Commission’s Rules of Practice 
(Order) against Carl S. Sanko, CPA (Sanko). 
The Order alleges that Sanko prepared and issued an audit report on the financial 
statements of a public company in 2004, without first registering with the Public 
Company Accounting Oversight Board (Board).  Section 102(a) of the Sarbanes-Oxley 
Act of 2002 (Sarbanes-Oxley Act) prohibits accounting firms not registered with the 
Board from preparing or issuing audit reports with respect to any issuer after October 22, 
2003. The Order alleges that, by this conduct, Sanko lacked the requisite qualifications to 
represent others and that Sanko willfully violated Section 102(a) of the Sarbanes-Oxley Act. 
Based on the above, the Order institutes proceedings against Sanko pursuant to Sections 
4C(a)(1) and 4C(a)(3) of the Securities Exchange Act of 1934 and Rule 102(e)(1)(i) and 
102(e)(1)(iii) of the Commission’s Rules of Practice to determine whether the allegations in 
the Order are true, and whether it should be censured or temporarily or permanently denied 
the privilege of appearing or practicing before the Commission as an accountant.   
A hearing will be scheduled before an administrative law judge to determine whether the 
allegations in the Order are true, to provide Sanko an opportunity to dispute these 
allegations, and to determine what sanctions, if any, are appropriate.  The Order directs the 
Administrative Law Judge to issue an initial decision in this matter no later than 300 days 
from the date of service of the Order. 
OCR text (2,064c · tika · 95% conf)
U.S. SECURITIES AND EXCHANGE COMMISSION 

Washington, D.C. 


SECURITIES EXCHANGE ACT OF 1934 
Release No. 56428 / September 13, 2007 

ACCOUNTING AND AUDITING ENFORCEMENT 
Release No. 2708 / September 13, 2007 

ADMINISTRATIVE PROCEEDING 
File No. 3-12789 

IN THE MATTER OF CARL S. SANKO, CPA 

The United States Securities and Exchange Commission (Commission) announced the 
issuance of an Order Instituting Administrative Proceedings Pursuant to Section 4C of the 
Securities Exchange Act of 1934 and Rule 102(e) of the Commission’s Rules of Practice 
(Order) against Carl S. Sanko, CPA (Sanko). 

The Order alleges that Sanko prepared and issued an audit report on the financial 
statements of a public company in 2004, without first registering with the Public 
Company Accounting Oversight Board (Board).  Section 102(a) of the Sarbanes-Oxley 
Act of 2002 (Sarbanes-Oxley Act) prohibits accounting firms not registered with the 
Board from preparing or issuing audit reports with respect to any issuer after October 22, 
2003. The Order alleges that, by this conduct, Sanko lacked the requisite qualifications to 
represent others and that Sanko willfully violated Section 102(a) of the Sarbanes-Oxley Act. 

Based on the above, the Order institutes proceedings against Sanko pursuant to Sections 
4C(a)(1) and 4C(a)(3) of the Securities Exchange Act of 1934 and Rule 102(e)(1)(i) and 
102(e)(1)(iii) of the Commission’s Rules of Practice to determine whether the allegations in 
the Order are true, and whether it should be censured or temporarily or permanently denied 
the privilege of appearing or practicing before the Commission as an accountant.   

A hearing will be scheduled before an administrative law judge to determine whether the 
allegations in the Order are true, to provide Sanko an opportunity to dispute these 
allegations, and to determine what sanctions, if any, are appropriate.  The Order directs the 
Administrative Law Judge to issue an initial decision in this matter no later than 300 days 
from the date of service of the Order.