PCAOB

Mark Your Calendar: SEC Roundtable and Insights

The Securities and Exchange Commission (SEC) and the Public Company Accounting Oversight Board (PCAOB) have announced the panelists for the upcoming roundtable on May 10, covering second-year experiences with the reporting and auditing requirements of the Sarbanes-Oxley Act 2002 related to companies’ internal control over financial reporting. The following day, May 11, KPMG’s 404 Institute is offering a webcast on the lessons learned and insights from the roundtable.

SEC Approves 7 PCAOB Rules for Auditors

The Securities and Exchange Commission (SEC) has approved Public Company Accounting Oversight Board (PCAOB) ethics and independence rules concerning independence, tax services, and contingent fees, according to a statement issued Friday by the PCAOB.
Community News

PCAOB Find Their Audit Concerns Addressed

The Big Four accounting firms criticized in the Public Company Accounting Oversight Board’s (PCAOB) first-ever regulatory report cards issued in 2004, have made progress addressing their “significant accounting and audit issues”, according to Marketwatch. If the firms had not addressed these problems cited within 12 months of the issuance of their report cards, the confidential portions of their reports would have been made public.

Canadian Think Tank Calls for Auditor Oversight Reform

A Vancouver-based economic think tank has called for reform of the watchdogs overseeing the North American auditing industry.Advertisement

PCAOB & Sarbanes-Oxley Under Fire

The Public Company Accounting Oversight Board (PCAOB) is being challenged, constitutionally. The complaint was filed last week in U.S. District Court in Washington by the Free Enterprise Fund and the accounting firm of Beckstead & Watts, according to BusinessWeek. The PCAOB was created in 2002 and has since been the target of those saying it wielded too much unchecked power. The legal team includes Ken Starr, former independent counsel in the Monica Lewinsky investigation in the second Clinton Administration and Viet Dinh, former U.S.
Community News

Regulators Call for More Transparency, Less Complexity

The Securities and Exchange Commission (SEC) is seeking help from the accounting industry to simplify the rules that may be partly to blame for the corporate scandals of recent years, the SEC chairman said Monday.The SEC, working with the Public Company Accounting Oversight Board (PCAOB) and the Financial Accounting Standards Board (FASB), is undergoing a “major national effort to make accounting less complex,” said SEC Chairman Christopher Cox, at the American Institute of Certified Public Accountants' (AICPA) annual meeting in Washington, D.C.
A&A

AICPA National Conference on Current SEC & PCAOB Developments

The American Institute of Certified Public Accountants (AICPA) is holding its 33rd annual National Conference on Current Securities and Exchange (SEC) and Public Company Accounting Oversight Board (PCAOB) Developments this week. The conference is being held at the Marriott Wardman Park located at 2660 Woodley Road, NW, Washington, DC. The conference will conclude Wednesday, December 7, 2005. The AICPA’s new Chair, Leslie Murphy, opened the conference. Murphy said, “Reliable and transparent financial reporting is fundamental to the well-being of our capital markets.

Challenges of Section 404 Compliance

Compliance with Section 404 of the Sarbanes-Oxley Act (SOX) is required in 2006. A report by the Public Company Accounting Oversight Board (PCAOB) states that both accounting firms and the public companies they audit will face “enormous challenges” this year as reported in CFO.com. This section of SOX requires that companies document their internal controls. “It is clear to us that the internal control assessment and audit process has the potential to significantly improve the quality and reliability of financial reporting.

2006 PCAOB Budget Approved

The Public Company Accounting Oversight Board (PCAOB) has approved its 2006 budget of $128 million. The accounting industry regulatory agency will use a $19 million excess from a 2005 budget to reduce the 2006 accounting support fee paid by publicly traded companies according to Reuters. Accounting support fee assessments of $109.3 million are projected for 2006 while $136.1 million in fees were assessed in 2005 according to the Compliance Reporter. The approved budget has been passed onto the Securities and Exchange Commission (SEC) for final approval according to Reuters.
Community News

PCAOB Faults Company Audits & Takes Disciplinary Action

The Public Company Accounting Oversight Board (PCAOB) has issued an order revoking the registration of a Los Angeles accounting firm after finding serious faults in past audits. The sole shareholder was also barred “from being an associated person of a registered public accounting firm,” according to Yahoo Asia News. The registration of another firm and its principal shareholder was also revoked.The PCAOB found that the accounting firm Kenny H. Lee CPA Group Inc. did not conform to PCAOB rules and audit standards in two audits for wireless phones maker Axesstel Inc.
Community News

PCAOB Finds Failures in Deloitte's Audit Work

The Public Accounting Standards Board (PCAOB) issued its report on Thursday on its inspections from May to November 2004 of past audits performed by Deloitte & Touche. The report cited “audit deficiencies” including failure to identify or address accounting errors, according to Reuters.

SEC Looking to Streamline Auditor-Independence Rules

The Securities and Exchange Commission (SEC) is looking into simplifying its auditor-independence rules without weakening them.Advertisement
Community News

Report Exposes Errors Found in KPMG Audits

An annual report released by the Public Company Accounting Oversight Board (PCAOB) highlights errors found in a sampling of KPMG’s nearly 1,900 public audits performed between June and October 2004.
Community News

PCAOB Chairman McDonough To Resign

William J. McDonough, Chairman of the Public Company Accounting Oversight Board (PCAOB) on Friday announce he will resign his position on November 30 or earlier, if his successor is in place. McDonough’s departure, along with that of Securities and Exchange Commission (SEC) Chief Accountant Donaldson, leaves SEC Chairman Cox with two major personnel decisions in as many months.“I came to the PCAOB in June 2003 to help it fulfill the great responsibilities assigned to it by the Sarbanes-Oxley Act to protect investors in U.S.
Community News

Marcum & Kliegman Achieves Largest Net Revenue Audited Gain

Marcum & Kliegman has achieved the largest net revenue audited gain for the first half of 2005 among non-national accounting firms, according to the Public Accounting Report.
Tax

Industry Concerned as PCAOB Adopts Ethics/Independence Rules

The Public Company Accounting Oversight Board adopted certain ethics and independence rules concerning tax services, contingent fees and related standards on Tuesday, July 26, 2005. Auditing Standard No. 4, which establishes requirements and provides direction on reporting whether previously reported material weakness continues to exist, was also adopted.The rules adopted Tuesday identify three circumstances when providing tax services impairs an auditor’s independence.
Tax

Deloitte’s Navistar Audit Being Investigated

Deloitte & Touche LLP is being investigated by the Public Company Accounting Oversight Board (PCAOB) for auditing discrepancies in their 2003 audit of Navistar Financial Corporation. The two-page order, issued in May, was inadvertently disclosed by the Securities and Exchange Commission (SEC) which oversees the PCAOB. Navistar Financial is a unit of Navistar International Corporation. “The order was misdirected to the public file,” said SEC spokesman John Heine in a statement to Bloomberg News.
A&A

Mark Your Calendar: Auditing in a Small Business Environment

The Public Company Accounting Oversight Board (PCAOB) is bringing the Forum on Auditing in the Small Business Environment to Orlando, Florida on August 4 and 5, 2005. The two-day program, hosted by Board Member Kayla J.

Lunch Buffett

How much do you spend on lunch? Even if you spend $20 a day, over the course of a year you will only spend a fraction of what one person will pay for lunch with Warren Buffett. The lucky luncher will not be announced until June 30, but already bids for the privilege of sharing a meal with the “Oracle of Omaha” and up to seven of your friends, have exceeded $250,100.The date, time and place of the lunch will be determined after the winner is announced but choices have been limited to eateries in Omaha, Nebraska or New York City.
Technology

PCAOB Releases XBRL Attest Engagement Guidance

The Public Company Accounting Oversight Board (PCAOB) on May 25, 2005 released staff questions and answers related to attest engagements regarding eXtensible Business Reporting Language (XBRL) data furnished under the Securities and Exchange Commission’s (SEC) XBRL Voluntary Financial Reporting Program on the EDGAR System.The questions and answers provide guidance for auditors engaged in reporting on whether the XBRL data accurately reflects the corresponding information in the official EDGAR filings.

Pages