Big Five told to keep consultancy and audit separate.
| Position | Brief Article |
New rules for reforming the accountancy industry, which make significant concessions to the Big Five firms, have been announced by the Securities and Exchange Commission (SEC). The rules mean that, while firms will be required to ensure that their audit and consultancy arms "appear" to be separate, they will not be forced to split their accountancy and consultancy arms into separate businesses.
While it has not been proved that any audit has been compromised by consultancy work, Arthur Levitt, the SEC chairman, is concerned that investor confidence in...
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