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SEC Contemplates Auditorless World
Former Computer Sciences Corp. CFO says that corporate-compliance efforts would be more effective if they didn't proceed in lock-step with auditor agendas.
David M. Katz, CFO.com | US
May 10, 2006
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A recent study pointed out that Companies that received clean opinions on internal controls increased their market cap at a greater rate than companies that reported problems. Amidst all this angst over the auditor's role, SARBOX seems to be working. Further, the idea that management's assurances about internal controls would be sufficient without an audit of that assertion would be akin to relying on management's assurances on their financial statements without an audit of those financial statements. It doesn't make a lot of sense. It seems to me the purpose of audits is to put companies on a level playing field in the maketplace for capital.
Posted by Chris Corrie | May 10, 2006 4:39 PM ET
