CPA Group Rethinks Auditor Ethics Rules Amid Private Equity Boom

The largest professional body for the US accounting industry is researching possible ethics rule changes that would address how those requirements apply to the mounting number of firms that have accepted private equity investments.

An ethics body of the American Institute of CPAs said Wednesday that it was seeking public feedback as it considers clarifying relationships that could impair an auditor’s independence. A document offering initial recommendations would modernize industry ethics rules specific to firms that have replaced their traditional partnership structure.

Large US accounting firms including Grant Thornton and Citrin Cooperman have cut PE deals recently. But bringing an ...