The Securities and Exchange Committee (SEC) has laid charges at the door ofAudit Firm BF Borgers CPA PC (BF Borgers) for massive rules violations affecting thousands of filings.
The regulatory body’s statement revealed that BF Borgers’s actions have affected a staggering number of over 1,500 SEC filings.
SEC charges BF Borgers
The auditory firm has seen a ripple effect tear through its existing financial relationships, with Trump Media & Technology Group officially pulling out through an SEC filing today. The company responsible for Truth Social has officially jumped ship to Semple, Marchal & Cooper.
The SEC hit Benjamin F. Borgers, the company’s owner, and the company itself for many financial reporting discrepancies. These included deliberate and systematic failures to report professionally and honestly to the Public Company Accounting Oversight Board (PCAOB).
From January 2021 through June 2023, BF Borgers were not up to code for 1,500 SEC filings or the stringent PCAOB standards. The company and the owner filed improper and misleading documentation, falsified to mimic PCAOB standards, but the regulatory entity caught and charged them.
Director of the SEC’s Division of Enforcement, Gurbir S. Grewal said “Ben Borgers and his audit firm, BF Borgers, were responsible for one of the largest wholesale failures by gatekeepers in our financial markets.”
Grewal continued, “As a result of their fraudulent conduct, they not only put investors and markets at risk by causing public companies to incorporate noncompliant audits and reviews into more than 1,500 filings with the Commission, but also undermined trust and confidence in our markets.”
BF Borgers was found to have no oversight into the regulation or supervision of accounts. A gargantuan 75 percent of the cases filed to the PCAOB were found to be non-compliant with the regulatory and legal standards.
Benjamin F. Borgers agreed to pay a $2 million dollar fine, and the company BF Borgers agreed to a $12 million fine for the falsehood.
“Borgers and his firm completely abandoned that role, but thanks to the painstaking work of the SEC staff, Borgers and his sham audit mill have been permanently shut down,” Director Grewal concluded.
Image: Ideogram.
