Barrett-Jackson Auction Co. LLC announced Wednesday that it has hired a financial auditor, apprently to investigate the company's own business practices. The auction giant will employ Deloitte & Touche LLP (“Deloitte & Touche”) "to conduct an independent examination of Barrett-Jackson’s management’s assertions relating to its auction practices for the company’s 2008-2009 auction season," according to a press release.
The release said that "Deloitte & Touche will examine the assertions made by Barrett-Jackson’s management related to certain practices followed in the conduct of the auctions and then render its opinion on the validity of those assertions based upon Barrett-Jackson’s recently completed 2008-2009 auction season. This examination and attestation will include the company’s inaugural Las Vegas, Nevada auction in October 2008, as well as the January 2009 auction in Scottsdale, Arizona and the April 2009 auction in Palm Beach, Florida. The examination will include testing key management assertions and criteria impacting the conduct of each Barrett-Jackson auction, including: the consignment process; bidder qualification and registration procedures; documentation of and adherence to the contracted terms of sale; conformity to the commission structure and commissions charged; proper calculation and timely payment of seller proceeds; and general adherence to documented auction practices.
“We have engaged a well respected firm to examine our practices and we look forward to sharing their results,” said Craig Jackson, Chairman and CEO of Barrett-Jackson. The statement noted that B-J expects to receive a report from Deloitte & Touche by Oct. 1.
Barrett-Jackson is scheduled to hold its second annual Las Vegas Auction Oct. 7-10 at the Madalay Bay Resort & Casino.
Swiss-based Deloitte Touche Tohmatsu is one of the largest professional services organizations in the world with headquarters in New York City and London. The company offers a variety of financial services, including auditing, risk management serves, consulting, financial reporting and tax help. The groupe includes about 150 independent firms in about 140 countries.