21 JULY 2005

NEW ZEALAND GAZETTE, No. 110

(f) entered into an arrangement for the purpose of
circumventing the rules of the institute, in relation to
offering accounting services to the public and holding
a certificate of public practice in circumstances
where he was not entitled to offer and/or provide
accounting services to the public and/or did not hold
a certificate of public practice;
(g) failed to notify the institute as soon as practicable of
his change of address and/or change of business
or employment.

The tribunal found the member had been party to explicitly
and deliberately entering into an arrangement to circumvent
the public practice rules of the institute which exist for the
protection of the public and therefore found the member
guilty of both misconduct in a professional capacity
and conduct unbecoming an accountant. When a person
becomes a member of the institute, they agree to abide by
the rules of the institute and comply with professional and
ethical standards, and breaches of those rules is
unacceptable behaviour.

Orders of the Tribunal

(a) Pursuant to Rule 21.31 (b) of the Rules of the
Institute of Chartered Accountants of New Zealand,
the disciplinary tribunal ordered that James Woodson
be suspended from membership of the institute for
two years.

(b) Pursuant to Rule 21.31 (c) of the Rules of the
Institute of Chartered Accountants of New Zealand,
the disciplinary tribunal ordered that James Woodson
pay to the institute a monetary penalty of $3,000.00.

(c) Pursuant to Rule 21.33 of the Rules of the
Institute of Chartered Accountants of New Zealand,
the disciplinary tribunal ordered that James Woodson
pay to the institute the sum of $4,912.00 (inclusive of
G.S.T.) in respect of the costs and expenses of the hearing
before the disciplinary tribunal and the investigation by
the professional conduct committee.

In accordance with Rule 21.35 of the Rules of the Institute
of Chartered Accountants of New Zealand, the disciplinary
tribunal directed that the decision of the tribunal be
published in the Chartered Accountants Journal, the
New Zealand Gazette and the Brisbane Courier Mail
with mention of the member’s name and locality.

Right of Appeal

Pursuant to Rule 21.41 of the Rules of the Institute of
Chartered Accountants of New Zealand which were in force
at the time of the original notice of complaint, the member
may, not later than 14 days after the notification of this
tribunal to the member of the exercise of its powers, appeal
in writing to the appeals council of the institute against the
decision.

No decision, other than the direction as to publicity, shall
take effect while the member remains entitled to appeal or
while any such appeal by the member awaits determination
by the appeals council.

Dated this 11th day of July 2005.

R. J. O. HOARE, Tribunal Chairman.

gn4637

Notice of Decision of the Disciplinary Tribunal
of the Institute of Chartered Accountants of
New Zealand (Member Guilty of Conduct
Unbecoming an Accountant)

At a hearing of the Disciplinary Tribunal of the Institute of
Chartered Accountants of New Zealand held on the 30th day

2635

of June 2005, which the member did not attend but was
represented by counsel, the tribunal found that Hoong Hua
Yong (also known as Francis Yong), of Auckland, had
pleaded guilty to the following charge and admitted the
following particulars.

Charges

THAT in terms of the Institute of Chartered Accountants of
New Zealand Act 1996 and the rules made thereunder, and
in particular Rule 21.30, the member is guilty of:

(1) conduct unbecoming an accountant.

Particulars

IN THAT in his role as a chartered accountant in public
practice and in relation to a complaint by the practice review
board, the member:

(a) entered into an agreement with a provisional
member which had the effect of defeating the
requirements relating to the granting of certificates
of public practice;

(b) entered into an agreement for financial benefit to
lend the chartered accountant brand to a company
to allow that company to practise as a chartered
accountant in circumstances where he contracted
to have “no responsibility whatsoever over the
financial liability which the approved company
already has or may have in the future since he has
no right whatsoever over the approved company”;

(c) authorised the use of his name and/or his
professional status to a company which allowed
the company to practise as a chartered accountant
when he contracted to have “no responsibility
whatsoever over the financial liability which the
approved company already has or may have in
the future since he has no right whatsoever over the
approved company”;

(d) was remunerated for providing approved company
status with the institute to ABACI Chartered
Accountants Limited, thereby allowing a company
to practise as a chartered accountant;

(e) conducted audits that were not in accordance with
the institute’s mandatory auditing standards;

(f) conducted an audit of a company in the month
of October 2003 prior to becoming a director and
shareholder of ABACI Chartered Accountants
Limited but signing the audit off on the 7th day
of November 2003 and two days after becoming
a director and shareholder of ABACI Chartered
Accountants Limited and knowing that ABACI
Chartered Accountants Limited had prepared the
accounts for the company.

When a person becomes a member of the institute, they
agree to abide by the rules of the institute and comply with
professional and ethical standards, and breaches of those
rules is unacceptable behaviour. The member has been a
party to an agreement to circumvent the public practice rules
of the institute which exist for the protection of the public.

Orders of the Tribunal

(a) Pursuant to Rule 21.31 (c) of the Rules of the Institute
of Chartered Accountants of New Zealand, the
disciplinary tribunal ordered that Hoong Hua Yong pay
to the institute a monetary penalty of $2,500.00.

(b) Pursuant to Rule 21.31 (k) of the Rules of the Institute
of Chartered Accountants of New Zealand, the
disciplinary tribunal ordered that Hoong Hua Yong
be censured.

(c) Pursuant to Rule 21.31 (n) of the Rules of the Institute
of Chartered Accountants of New Zealand, the