We serve at their pleasure and report to them. My experience with Boards and Audit Committees has been positive and helpful. I believe that these men and women take their role seriously and do a good job of oversight. The Commission should modify these proposals and allow complimentary services to be provided subject to specific oversight and approval of a Registrant's Board. Expanded disclosure of specific services rendered, the approval process and any consideration of conflict and how it was resolved would put the entire relationship in clear view.
Registrants take great care to disclose conflicting relationships and the dollar amounts involved.
Provide guidance to boards, auditors, and the public. Keep watch and take administrative action where abuse occurs. Do not regulate behavior to the detriment of the companies that you regulate and do not regulate commerce in the mistaken notion that rules on perceived conflict will reduce audit failures. The unintended consequences of the Commission's actions may have far reaching effects on both the accounting profession and the clients they serve.