Prager Metis settles SEC charges over FTX audits

Accounting firm Prager Metis has settled with the U.S. SEC over misconduct related to its audits of crypto exchange FTX. According to Cointelegraph, the firm will pay $745,000 for misrepresenting compliance with auditing standards between 2021 and 2022. The SEC claims Prager failed to assess risks tied to FTX’s connection with Alameda Research. Prager neither admitted nor denied the charges but agreed to hire an independent consultant to review its audit procedures. The settlement follows FTX’s collapse in 2022 due to a liquidity crisis and fraud allegations.