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.
Lifecycle of the Bill
No events recorded for this stage yet.
No events recorded for this stage yet.
