Just days after the U.S. Securities and Exchange Commission took its first enforcement actions over close personal ties between auditors and clients, a top agency accountant said Thursday that he does not expect regulators to issue guidance specifying when a relationship crosses the line and compromises the review of a company’s books.
Speaking at an American Law Institute conference in Washington, Michael Husich, the SEC’s senior associate chief accountant, urged accountants to use a “common sense standard” in their relationships with clients to avoid jeopardizing the independence of an audit.
