In rare cases,auditors have been held liable for criminal acts.A criminal conviction against an auditor can result only when it is demonstrated that the auditor

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Criminal liability can only be imposed if the auditor knowingly issued an incorrect auditor's report. Negligence or gross negligence may result in civil liability, but not criminal liability unless there is intent to deceive. Financial loss to a third party may also result in civil liability, but not necessarily criminal liability.

In Rare Cases,auditors Have Been Held Liable for Criminal Acts