Description: The auditor general of Ontario has found that the provincial real estate regulator – RECO – is falling down on its job of protecting buyers and sellers. In her value-for-money audit of RECO, auditor general Bonnie Lysyk found various problems with the organization, including a lack of follow-up on consumer complaints and faulty processes around inspections of real estate brokers. RECO has received close to 12,000 complaints over the last few years. Lysyk determined that RECO’s system had no categorization or description for 55 percent of the complaints received.

Date: December 8, 2022

Source:  cbc.ca

 Link: https://www.cbc.ca/news/business/reco-ontario-real-estate-audit-marketplace-1.6677790

Discussion points:

1) Do you know of anyone who has launched a complaint about a real estate transaction?

2) Have you ever considered a career as a value-for-money auditor?

3) Chapter 8 of Wiley’s Understanding Financial Accounting deals with long-term assets. What is an exception to the accounting treatment for land in comparison to other real-estate assets?