Research On The Causes And Governance Of Continuous Punishment Of Zhonghua Accounting Firm

In recent years,financial fraud in listed companies has been common,which has sounded an alarm for the auditing industry.Certified public accountants should express appropriate audit opinions and use their professional knowledge to provide services to the capital market,in order to avoid the occurrence of audit failures.However,in recent years,multiple accounting firms have been subject to administrative penalties from regulatory authorities such as the China Securities Regulatory Commission due to consecutive audit failures.This thesis analyzes the causes of the continuous punishment of Zhonghua Certified Public Accountants in 2019,and then studies and proposes feasible governance countermeasures through the event that Zhonghua was subject to administrative punishment by the CSRC twice in a row,and was ordered to suspend undertaking new securities business and its impact.The aim is to provide some reference and suggestions for the accounting firm as the main body,while analyzing the environment and mechanisms of external regulatory agencies and providing targeted suggestions.The aim is to accelerate the improvement of the market economy system for social personnel,improve the financial regulatory system,and maintain the bottom line of avoiding systemic financial risks.The research on audit failure cases of existing accounting firms is often an extension of the analysis of financial fraud in the audited entity.However,for accounting firms that have been punished multiple times,it is difficult to analyze the reasons for audit failures in a single case.Different from analyzing the cause of audit failure from a case,this thesis combs the pre consequences of the event that Zhonghua Certified Public Accountants was recently continuously subject to administrative punishment by the CSRC and ordered to suspend undertaking new securities business,and makes statistical analysis of common influencing factors in many events.Provide some reference and suggestions for the environment and mechanisms of accounting firms as the main body and regulatory agencies.Through this study,it enriches the research on the administrative penalties and subsequent impacts of regulatory agencies on accounting firms and their registered accountants in China.It provides reference significance for the healthy development of the certified public accountant industry,as well as for the strengthening of self construction by Chinese accounting firms,in order to reduce the occurrence of audit failures.