Integrity in Auditing Act of 2002

Summary

Integrity in Auditing Act of 2002 - Amends the Securities Exchange Act of 1934 to prohibit an independent public accountant from providing: (1) management consulting or any other non-audit-related services during the same calendar year in which it provides auditing services; (2) any service that could either result in a potential conflict of interest, or impair auditor independence; or (3) auditing or related services for an issuer for more than seven consecutive years. Bars an independent public accountant from employment in a management or other policymaking position for an issuer for whom that accountant (or affiliated person) has provided auditing services during the one-year period preceding the date of employment. Permits the performance, however, of tax consulting services contemporaneously with any auditing or related service. Directs the Securities and Exchange Commission to require: (1) issuer disclosure of the nature, extent, and duration of interrelationships between the issuer and the board of directors, senior officers of the corporation, and immediate family members; and (2) the audit committee and compensation committee of an issuer to consist solely of independent directors. Expresses the sense of the Senate that: (1) tough enforcement, including criminal prosecution whenever possible, is the most effective deterrent to fraudulent activity; and (2) the Commission should take a firm, swift approach to wrongdoers.

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Timeline

1. 21 March 2002

   Introduced

   Sponsor introductory remarks on measure. (CR S2281-2282)

   Source: IntroReferral

2. 21 March 2002

   Introduced

   Introduced in Senate

   Source: IntroReferral

3. 21 March 2002

   Introduced

   Read twice and referred to the Committee on Banking, Housing, and Urban Affairs.

   Source: IntroReferral

Votes

No vote records are attached yet.

Versions

• Introduced in Senate · 21 March 2002 · Official file

Documents

3 official files

• Introduced in Senate (text)

  Introduced in Senate · EN · 21 March 2002

  ViewDownloadOpen at official source

• Introduced in Senate (PDF)

  Introduced in Senate · EN · 21 March 2002

  ViewDownloadOpen at official source

• Introduced in Senate

  summary · EN · 21 March 2002

  Open at official source

Sponsors

• Rep. Nelson, Bill [D-FL-11] · D · Sponsor
• Sen. Carnahan, Jean [D-MO] · D · Sponsor
• · ssbk00 · Standing

Related records

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