As the Securities and Exchange Commission considers a wide range of feedback on the potential for new disclosure requirements for audit committees, the latest data suggests audit committees are increasing their voluntary push to provide more information to investors.
Feedback to the SEC’s concept release has produced “mixed views,” said SEC Chief Accountant Jim Schnurr, on whether and to what extent the SEC should mandate new disclosures from audit committees on their oversight of the independent auditor. The SEC received nearly 100 comment letters on its broad concept release exploring the many ways audit committees might have more to say to investors, about 40 percent of them from audit committee members or management, he said during a recent speech. “Some commenters supported additional disclosure in certain areas, while others thought enhanced disclosure should be encouraged solely on a voluntary basis,” he said.
