Regulation .04 Financial Auditing.
Regulation .04 Financial Auditing.LinkCopy Citation
A.
An operator that generates gross annual revenues of $250,000 or more shall ensure that a financial audit of its fantasy competition operations is performed annually by a certified public accountant.
B.
The certified public accountant that conducts the financial audit shall:
(1)
Comply with generally accepted accounting principles; and
(2)
Submit the financial audit report to the Commission within 180 days after the operator’s fiscal year end.
C.
Auditor Exception.
(1)
The same certified public accountant may not perform more than five consecutive financial audits for a fantasy competition operator unless:
(a)
The fantasy competition operator requests and obtains preapproval of the Commission; and
(b)
A different audit partner manages the audit after 5 years.
(2)
If a different audit partner cannot be assigned, a fantasy competition operator shall advise the Agency prior to the beginning of the audit.
D.
Nothing in this regulation precludes the Commission’s authority to require a fantasy competition operator to obtain more than one financial audit annually and provide the Commission with the audit report.