12/01/1983 04710

SECURITIES ACCOUNTANT 1

DEFINITION: This is beginning level, specialized professional accounting and financial analytical work in the securities registration, licensing and enforcement functions of the Pennsylvania Securities Commission in accordance with Pennsylvania securities laws, regulations, and guidelines.

An employee in this class is assigned to perform the principal financial review and analysis of securities registrations or exemption applications pertaining to securities offerings in Pennsylvania that are relatively limited in complexity. The employee is responsible for determining whether the financial data and documents are in accordance with generally accepted accounting principles and standards, provide full financial disclosure and comply with laws and regulations; whether the financial data fully and fairly reflect the financial condition and operating characteristics of the issuers; that the financial plan of the offering is consistent with guidelines established for the particular industry; and that the offering contains no misleading financial information or would tend to work a fraud on the investor. The employee may assist other staff in the review and analysis of financial records associated with the enforcement program of the Commission, in which capacity the employee reviews and analyzes financial statements data and records of organizations being investigated by the Commission's enforcement staff. The employee may also be assigned to review financial data and documents submitted in application for registration by broker-dealer firms and investment advisers, or may assist in the review of financial information associated with Takeover Disclosure Law filings, in the performance of which functions the employee explains to applicants, registrants and accountants the requirements and deficiencies; assists in preparing official recommendations to the Commission for formal action; and provides general assistance to the Chief Accountant in the development, changes and implementation of an effective accounting program for the proper administration of the law, the regulation of the securities industry, and the protection of the public investor.  Work is reviewed while in progress and upon completion, through reports, for accuracy of technical details, application of professional judgment, results achieved, and compliance with policy.

Instructions and supervision are received from the Chief Accountant.

EXAMPLES OF WORK: Performs the principal financial review and analysis of all financial data and documents associated with securities registration or exemption applications for offerings to be made in the Commonwealth that the relatively limited in complexity.

Determines that the accounting applied in the financial documents contained in Federal coordination securities registration filings, qualification registration filings, application for exemption, post-effective reporting filings, broker-dealer registration applications, investment adviser registration applications, and financial or accounting records incidental with investigations, is in accordance with generally accepted accounting principles and standards as established by the Pennsylvania Securities Commission, the SEC, the American Institute of Certified Public Accountants and the Financial Accounting Standards Board ("FASB"); that the financial data presented in the registration statement are consistent with and accurately reflect the information contained in the prospectus narrative; that the data meet financial guidelines established by regulatory and professional associations; that they fully and fairly reflect the financial condition of the company; that they meet the specific requirements of the Act; that the information is not misleading; that there is no material omission of fact; and that in general the data provide full disclosure and would not tend to defraud the investor.

Prepares for review staff recommendation for presentation to the Commission at public session of formal action concerning the registration or exemption of securities or requests for waivers from registrants; or recommends conditional approval to the Commission.

Prepares for review reports summarizing the results of accounting reviews, examinations and analyses, citing material deficiencies, and prepares letters of deficiencies to the registrant; makes recommendations as to whether amendments filed by registrants adequately correct such deficiencies.

May assist other staff in the research, review and analysis of financial records and data pertaining to enforcement cases in order that determinations may be made of the use of proceeds and that financial transactions may be traced; in cases where a fraud or violation is suspected, assists in preparing accounting exhibits and supporting data, identifying exhibits, and may testify as to the accuracy of facts; assists in preparing evidence and assists other staff in the preparation of briefs or other documents for legal or administrative proceedings.

May assist in the review of financial statements filed by broker-dealers and investment advisers for determining whether financial data fully and fairly reflect financial requirements of laws and regulations.

Participates in conferences with other members of the staff, with respect to technical accounting issues arising in the examination and analysis of documents.

Participates in conferences with applicants, registrants or their representatives and with accountants (commonly CPAs) and attorneys representing registrants with respect to accounting requirements and issues raised in deficiency letters to secure remaining background necessary to complete the examination and analysis of filings, or to advise them regarding accounting procedures to be followed in the preparation of financial statements to be filed with the Commission.

May assist staff in researching the "Uniform Securities Act" and Federal regulations in order to insure that the interpretation and administration of the accounting functions within the context of the Act are consistent.

REQUIRED KNOWLEDGES, SKILLS, AND ABILITIES: Knowledge of generally accepted accounting principles and practices.

Knowledge of principles, practices and theories of corporation finance, investments, business organization, corporate taxation, commercial law (contract, business entites, commercial instruments) and business administration.

Knowledge of the various kinds, forms, contents and terminologies of financial statements in general and specific financial statement presentations of selected activities such as insurance, consumer finance, churches and non-profit organizations, land sales companies, and limited partnerships.

Knowledge of Federal Income Tax Code and Regulations specifically regarding corporation tax, operating loss, carry-overs reorganization, partnership concepts, qualifications for preferred taxation of special entities, and deferred tax concept.

Ability to understand and apply securities laws and regulations, and
accounting regulations and professional pronouncements.

Ability to communicate effectively, orally and in writing.

MINIMUM EXPERIENCE AND TRAINING: Two years of professional public accounting experience; and a bachelor's degree, including or supplemented by twenty-four credit hours in Accounting.

                                                                                                                                     or

Certification as a Certified Public Accountant.

                                                                                                                                    or

A master's degree in Accounting or Business Administration, including or supplemented by twenty-four credit hours in accounting.

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Any equivalent combination of experience and training.