The Federal Deposit Insurance Corp has sued audit firm Crowe Horwath, accusing of it having engaged in willful malpractice by failing to disclose accounting manipulation at Illinois-based Valley Bank before its 2014 failure.
Filed on Friday in federal court in Chicago, the lawsuit seeks at least $21 million in damages for what the FDIC called “wanton deviation from basic auditing standards” in Crowe Horwath’s 2010 and 2011 audits of the bank’s parent, Moline, Illinois-based River Valley Bancorp.
To read the full story on Westlaw Practitioner Insights, click here: bit.ly/2rpb23L
