Open Meeting Agenda
Tuesday, July 12, 2016
|Item 1:||Oral Argument in the Matter of John J. Aesoph, CPA and Darren M. Bennett, CPA|
The Commission will hear an oral argument in a cross-appeal from an initial decision of an administrative law judge by Respondents, John J. Aesoph, CPA and Darren M. Bennett, CPA and the Division of Enforcement.
On June 27, 2014, the law judge found that Aesoph and Bennett engaged in "improper professional conduct" under Commission Rule of Practice 102(e) and Section 4C of the Securities Exchange Act of 1934, during their service as the engagement partner and senior manager of KPMG, LLP's audit of the 2008 financial statements of TierOne Corporation, a holding company for TierOne Bank. The law judge suspended Aesoph from appearing or practicing before the Commission as an accountant for one year, and suspended Bennett from appearing or practicing before the Commission as an accountant for six months.
Respondents appealed the law judge's findings of liability and the sanctions imposed; the Division cross-appealed the sanctions imposed. The issues likely to be considered at oral argument include, among other things, whether Respondents engaged in "improper professional conduct" as alleged and, if so, the extent to which they should be sanctioned. Also likely to be considered at oral argument is whether these administrative proceedings violate the U.S. Constitution.
For further information, please contact Brent J. Fields from the Office of the Secretary at (202) 551-5400.