OCCUPATIONAL CODE (EXCERPT)
Act 299 of 1980
339.734 Prohibited conduct; penalties; report to department.
(1) A holder of a certificate, registration, or license as a certified public accountant or an individual exercising the practice privilege granted under section 727a and the firm employing that individual is subject to the penalties of section 602 for 1 or more of the following:
(a) Fraud or deceit in obtaining a certificate or registration as a certified public accountant, a license to practice public accounting, or a practice privilege under this article.
(b) Dishonesty, fraud, or negligence in the practice of public accounting.
(c) Violation of a rule of professional conduct promulgated under this article.
(d) Departure from standards of professional practice applicable to the engagement, at the time of engagement.
(e) Conviction of a felony under the laws of this or another state or the United States or conviction of a crime, an element of which is dishonesty, fraud, or negligence, under the laws of this or another state or of the United States, including, but not limited to, the failure to file a personal federal, state, or local income tax return.
(f) Cancellation, revocation, suspension, or refusal to renew authority to practice as a certified public accountant by another state or any jurisdiction of the United States for a cause other than failure to pay a licensure or other required fee in that state.
(g) Suspension or revocation of the right to engage in the practice of public accounting before a state or federal agency or a public accounting oversight board.
(h) Conduct discreditable to the public accounting profession.
(i) Determination of mental incompetency by a court of law.
(j) A violation of this article or a rule promulgated under this article.
(k) A violation of the provisions of section 604.
(l) A violation of professional standards regarding the issuance of reports on financial statements; 1 or more kinds of management advisory, financial advisory, or consulting services; the preparation of tax returns; or the furnishing of advice on tax matters.
(2) Notwithstanding section 602(e), a person that violates this article or a rule or order promulgated or issued under or related to this article is liable for an administrative fine payable to the department of not more than $25,000.00 per violation.
(3) Within 30 days after a final determination rendered by a federal or state administrative agency or a judgment or conviction issued by a federal court, a state court, or any other court of record, a licensee or registrant shall report to the department in writing or electronically a determination, order, judgment, or conviction regarding a violation in which dishonesty, fraud, or negligence is an element of that determination, order, judgment, or conviction.
History: Add. 1997, Act 10, Imd. Eff. May 16, 1997
Am. 2005, Act 278, Imd. Eff. Dec. 19, 2005
Am. 2008, Act 161, Imd. Eff. June 11, 2008
Am. 2010, Act 215, Imd. Eff. Nov. 23, 2010
Popular Name: Act 299
© 2009 Legislative Council, State of Michigan