Question

What happened to Lichter, Yu and Associates, Inc. in 2018 from SEC report?

Answer 1

Lichter

Lichter is denied the privilege of appearing or practicing before the Commission as an accountant.

After five years from the date of this order, Lichter may request that the Commission consider his reinstatement by submitting an application to resume appearing or practicing before the Commission as:

1. a preparer or reviewer, or a person responsible for the preparation or review, of any public company’s financial statements that are filed with the Commission (other than as a member of an audit committee, as that term is defined in Section 3(a)(58) of the Exchange Act). Such an application must fulfill the Commission that Lichter's work in his training before the Commission as a bookkeeper will be evaluated either by the autonomous review advisory group of the general population organization for which he works or in some other satisfactory way, as long as he hones before the Commission in this limit; and/or

2. a preparer or reviewer, or a person responsible for the preparation or review, of any public company’s financial statements that are filed with the Commission as a member of an audit committee, as that term is defined in Section 3(a)(58) of the Exchange Act. Such an application will be considered on a realities and conditions premise as for such enrollment, and the candidate's weight of showing great aim for restoration will be especially high given the job of the review council in money related and bookkeeping matters; and/or

3. an independent accountant. Such an application must satisfy the Commission that:

(a) Lichter, or the public accounting firm with which he is associated, is registered with the Board in accordance with the Sarbanes-Oxley Act of 2002, and such registration continues to be effective;

(b) Lichter, or the registered public accounting firm with which he is associated, has been inspected by the Board and that inspection did not identify any criticisms of or potential defects in the respondent’s or the firm’s quality control system that would indicate that Lichter will not receive appropriate supervision;

(c) Lichter has resolved all disciplinary issues with the Board, and has complied with all terms and conditions of any sanctions imposed by the Board (other than reinstatement by the Commission); and

(d) Lichter acknowledges his responsibility, as long as he appears or practices before the Commission as an independent accountant, to comply with all requirements of the Commission and the Board, including, but not limited to, all requirements relating to registration, inspections, engagement quality reviews and quality control standards.

The Commission will consider an application by Lichter to resume appearing or practicing before the Commission provided that his state CPA license is current and he has resolved all other disciplinary issues with the applicable state boards of accountancy. However, if state licensure is dependent on reinstatement by the Commission, the Commission will consider an application on its other merits. The Commission’s review may include consideration of, in addition to the matters referenced above, any other matters relating to Lichter’s character, integrity, professional conduct, or qualifications to appear or practice before the Commission as an accountant. Whether an application demonstrates good cause will be considered on a facts and circumstances basis with due regard for protecting the integrity of the Commission’s processes.

Yu

Yu is denied the privilege of appearing or practicing before the Commission as an accountant.

After five years from the date of this order, Yu may request that the Commission consider his reinstatement by submitting an application to resume appearing or practicing before the Commission as:

1. a preparer or reviewer, or a person responsible for the preparation or review, of any public company’s financial statements that are filed with the Commission (other than as a member of an audit committee, as that term is defined in Section 3(a)(58) of the Exchange Act). Such an application must fulfill the Commission that Yu's work in his training before the Commission as a bookkeeper will be investigated either by the autonomous review advisory group of the general population organization for which he works or in some other adequate way, as long as he hones before the Commission in this limit; and/or

2. a preparer or reviewer, or a person responsible for the preparation or review, of any public company’s financial statements that are filed with the Commission as a member of an audit committee, as that term is defined in Section 3(a)(58) of the Exchange Act. Such an application will be considered on an actualities and conditions premise as for such enrollment, and the candidate's weight of showing great motivation for restoration will be especially high given the job of the review board of trustees in money related and bookkeeping matters; and/or

3. An independent accountant.

Such an application must satisfy the Commission that:

1. Yu, or the public accounting firm with which he is associated, is registered with the PCAOB in accordance with the Sarbanes-Oxley Act of 2002, and such registration continues to be effective;
2. Yu, or the registered public accounting firm with which he is associated, has been inspected by the Board and that inspection did not identify any criticisms of or potential defects in the respondent’s or the firm’s quality control system that would indicate that Yu will not receive appropriate supervision;

(c) Yu has settled every single disciplinary issue with the Board, and has consented to all terms and states of any approvals forced by the Board (other than reestablishment by the Commission); and

(d) Yu acknowledges his responsibility, as long as he appears or practices before the Commission as an independent accountant, to comply with all requirements of the Commission and the Board, including, but not limited to, all requirements relating to registration, inspections, engagement quality reviews and quality control standards.

J. the Commission will consider an application by Yu to resume appearing or practicing before the Commission provided that his state CPA license is current and he has resolved all other disciplinary issues with the applicable state boards of accountancy. However, if state licensure is dependent on reinstatement by the Commission, the Commission will consider an application on its other merits. The Commission’s review may include consideration of, in addition to the matters referenced above, any other matters relating to Yu’s character, integrity, professional conduct, or qualifications to appear or practice before the Commission as an accountant. Regardless of whether an application exhibits great motivation will be considered on a realities and conditions premise with due respect for securing the honesty of the Commission's procedures.