US Audit Board Looks to Break Enforcement Mold, Expand Probes

The chair of the US audit board pledged to expand the types of investigations the regulator pursues, including isolated, but egregious violations of its rules that put investors at risk.

The Public Company Accounting Oversight Board will also target violations of its quality control standards—rules meant to ensure firms deliver effective work—as it ramps up policing of audits, Chair Erica Williams said in a speech to institutional investors in Boston Thursday. “The excuse that, ‘it only happened once,’ simply won’t cut it,” Williams said.

• Firms that don’t properly staff audit teams or respond to audit risks could also expect scrutiny ...