Authority: IC 23-19-6-5

Affected: IC 23-19

Sec. 4. (a) An issuer with an offering registered by qualification shall notify the commissioner in writing, within five (5) business days of the removal, of the independent accountant who was previously engaged to audit the issuer's financial statements.

(b) The notification required under subsection (a) shall include a statement of whether:

1. (1) there has been any disagreement with the former accountant on any matter of:

   1. (A) accounting principles or practices;
   2. (B) financial statement disclosure; or
   3. (C) auditing scope or procedure;
2. that if not resolved to the satisfaction of the former accountant would have caused it to make reference to the subject matter of the disagreement in connection with its report;

3. (2) the former accountant has advised the issuer:

   1. (A) that necessary internal controls do not exist;
   2. (B) that it has information that has led it to no longer rely on management's representations or that has made it unwilling to be associated with the financial statements prepared by management;
   3. (C) of the need to expand significantly the scope of its audit; or
   4. (D) that it has information that it has concluded materially affects the fairness or reliability of a previously issued audit report or financial statements to be issued.

(c) The issuer shall provide the former accountant a copy of the notice required under subsection (a) no later than the time it is filed with the commissioner. The issuer shall request that the accountant furnish a letter addressed to the commissioner stating whether the accountant agrees with the information in the notice. The letter shall be filed with the commissioner within ten (10) business days after filing of the notice.

(Securities Division; 710 IAC 4-11-4; filed Jun 28, 2010, 2:36 p.m.: 20100728-IR-710100044FRA; readopted filed May 12, 2016, 1:47 p.m.: 20160608-IR-710160136RFA; readopted filed Nov 30, 2022, 4:01 p.m.: 20221228-IR- 710220301RFA)