Almost four years after its inglorious financial collapse, ASIC has finally claimed a scalp from the charred wreckage of ABC Learning Centres. But despite presiding over the loss of more than $1.6 billion of shareholder and lender funds, no executive or director of ABC Learning has had to face civil or criminal sanction. Instead ASIC has proudly enforced a sanction on a relatively junior auditor.
Last week, ASIC announced that the ABC’s former auditor Simon Green, a Brisbane-based audit partner with Pitcher Partners, had accepted a five-year ban for inadequately performing his duties. ASIC’s hard-hitting chair Greg Medcraft (who was appointed well after the group’s collapse) claimed that "auditors and important gatekeepers who are relied on to provide assurance and market confidence in the quality of financial reports".