Rebuilding Trust: A New Chairman Aims to Repair the Profession's Image and Unite a Diverse Membership

William F. Ezzell--a partner of Deloitte & Touche LLP--assumed the AICPA chairmanship in October at the Institute's annual meeting, which was held this year in Hawaii. Like all incoming chairmen, Ezzell faces a host of urgent priorities. But in the wake of the Enron scandal he has singled out the profession's tarnished image as his most immediate concern and pledged to focus on practitioners' core values of integrity and objectivity. "Before we do anything else," he said during a recent interview with the JofA, "we've got to put our house in order." It's clear, however, that restoring investors' and regulators' eroded confidence in auditors won't be a cakewalk. To make matters worse, Ezzell says, critics of the profession don't distinguish between auditors of public companies and those of small, privately held businesses. He fears this could lead to laws and regulations that inappropriately and illogically apply to all auditors. That's what makes Ezzell's accession to the chairmanship both a challenge and an opportunity. True, his big-firm pedigree could alienate small firms. But if he succeeds in protecting their interests and supports policies that address other members' needs as well, practitioners of all stripes are likely to rally around common values and professional aspirations. A stronger, unified profession could better repair the other bonds of trust--with investors, clients and the government--on which all practitioners' success depends. RESTORING FAITH IN CPAs Since 1993 Ezzell has headed Deloitte & Touche's government relations program in Washington, D.C., making sure that regulators and members of Congress understand and fully consider the profession's perspective on critical issues. That role originated when Ezzell became chairman of--and his firm's representative to--the Accountants' Coalition, a task force that works closely with the AICPA and state societies on legislative and regulatory issues. With the Institute, the coalition communicated the profession's positions on tort reform to federal legislators writing and voting on the Private Securities Litigation Reform Act of 1995 and the Securities Litigation Uniform Standards Act of 1998. These federal laws reduced public companies'--and their accountants'--exposure to frivolous lawsuits investors filed after corporations or their representatives had issued revenue projections or other statements that ultimately proved inaccurate. Ezzell is well aware of the various hats AICPA members wear. He was chairperson of the AICPA Group of 100, the accountants' legal liability committee and the Institute's federal legislative task force. He has worked with state societies to amend the Uniform Accountancy Act and with CPAs in companies whose financial statements Deloitte & Touche audits. Ezzell believes this first-hand knowledge enables him to better represent all members. And as chairman, he aims to renew the government's and the capital markets' trust in the profession by conveying to them CPAs' ongoing dedication to providing valuable services in a reliable, ethical manner. A TIME FOR UNITY Ezzell's experience gives him a broad perspective. "I began my career with Deloitte & Touche (then Haskins & Sells) in 1973," he recalled. "They assigned me to a 30-person office in Greensboro, North Carolina." Ezzell had just graduated from the University of North Carolina at Chapel Hill with a bachelor's degree in business administration and accounting. For several years he provided audit and tax services to new, growth companies. "Practicing in that office was very similar to working in a small firm," he said, "so I understand that world and the challenges CPAs in it face each day." But few practitioners have worked at both ends of the size spectrum and understand, the different perspectives. "It's easy, with a diverse membership, for one group to find itself at odds with another," Ezzell continued. …

Field of study: Business