The Securities and Exchange Commission is exploring the possibility of new rulemaking with respect to auditor independence requirements.
After the SEC recently revised its rules around debtor relationships that might affect auditor independence, Chairman Jay Clayton instructed the staff to follow up on some concerns raised in public comments responding to the rule. “The chairman has directed the staff to formulate recommendations to the commission for possible additional changes to the auditor independence rules for potential future rulemaking,” said Sagar Teotia, chief accountant at the SEC, at a recent banking conference. “We are actively working on those recommendations.”
