Sarbanes-Oxley: PCAOB under fire
A US Federal court case may force Congress to consider amendments to the Sarbanes-Oxley Act.
Kenneth Starr, the independent counsel who headed the investigation into the Monica Lewinsky scandal during Bill Clinton’s time at the White House, is now turning his wrath on the Public Company Accounting Oversight Board. He is among the lawyers working on a case being brought in the district federal court in Washington, DC, by the Free Enterprise Fund and accountancy firm Beckstead & Watts that will argue that the PCAOB is unconstitutional and wields unchecked power.
The wider aim of the litigation is to force Congress to consider amendments to the Sarbanes-Oxley Act, the legislation that brought the PCAOB into being, that would reduce the power over US companies the body enjoys.