 |
Sarbanes-Oxley News & Developments
With The Passing of Sarbanes-Oxley Audits May Never Be The SamePCAOB plans to replace peer review with government inspections.
> > Douglas Charmichael,the newly hired chief auditor of the Public Company Accounting Oversight Board (PCAOB), is beginning his move to Washington to deal with his role as an expert witness in cases involving auditors. Some Washington watchers say his hiring is a clear signal that the accounting industry oversight board is actually committed to overseeing the accounting industry.
The changes PCAOB plans to enact are indeed formidable. Among them: the replacement of peer review with government inspection. The board plans to hire a cadre of at least 100 accountants to do the inspections. Auditors would not be the only ones calling the shots about audit standards. Instead, the PCAOB, a non-profit organization set up under the Sarbanes-Oxley Act to oversee the audit industry, intends to name an advisory group consisting of finance executives, investors, auditors, and other folks.
Whatever happens, Carmichael is likely to have a strong say in the matter. Given his reputation as a stern critic of the accounting industry, that likely means more strigent audit standards.
Source: CFO,com article
Published:2003-06-06
|
|
