Final answer:
The SEC action against Deloitte in July 2015 was as a result of allegations of their failure to adhere to auditing standards, leading to a potential compromise in the accuracy of financial statements.
Step-by-step explanation:
The SEC action against Deloitte in July 2015 was due to allegations of audit malpractice regarding certain services provided to a client. The Securities and Exchange Commission (SEC) is a federal agency tasked with enforcing laws against market manipulation.
In this instance, Deloitte was penalized for failing to follow generally accepted auditing standards, which led to a lack of assurance that the financial statements they audited were free from material misstatement. Such enforcement actions are crucial for maintaining investor trust in public company audits and ensuring the integrity of financial reporting.