Banned SMSF auditor sentenced for falsifying reports

Banned SMSF auditor Kirstian Convery has been sentenced to 60 hours of unpaid community work after pleading guilty to continuing to act as an auditor while disqualified and falsifying audit documents.

Convery was convicted by the Melbourne Magistrates Court on September 2 after an ASIC investigation found he continued providing SMSF audit services between June 2024 and January 2025 despite being permanently disqualified.

He acted for four tax agents and completed audits while being prohibited from doing so, with the court also hearing he created 47 false SMSF audit reports and a related letters between July 2024 and January 2025 for the purpose of obtaining financial gain.

Convery provided completed audit reports in the name of another registered SMSF auditor, despite that auditor having neither participated in the audit nor authorised the use of their details. He subsequently invoiced the tax agents for the work.

The matter was prosecuted by the Office of the Director of Public Prosecutions (Cth) following a referral from ASIC.

Convery was permanently disqualified from acting as an SMSF auditor by ASCI effect 15 May 2024. He subsequently sought a stay and review of the decisions through the Administrative Appeals Tribunal, with both applications dismissed.

The sentencing follows ASIC's broader crackdown on SMSF auditor conduct, with the regulator acting against 13 approved SMSF auditors during the first half of 2024 for concerns including breaches of auditing and assurance standards, independence requirements and professional obligations.

At the time, ASIC said SMSF auditors were key gatekeepers for the sector, providing assurance over more than 625,000 SMSFs holding more than $990 billion in assets.

Between July 2023 and June 2024, ASIC made 46 decisions involving approved SMSF auditors, including 15 disqualifications, 24 sets of additional conditions, one suspension and six cancellations.

ASIC and the Australian Taxation Office jointly regulate SMSF auditors, with the ATO able to refer conduct concerns to ASIC.

The regulators have urged SMSF trustees' members to check the registration status of their auditor through ASIC's SMSF Auditor register.