US boss told to go

It is understood that the heads of at least two of the major audit firms have told Barry Melancon that he should leave his post as chairman and chief executive of the American Institute of Certified Public Accountants.

They claimed that leadership change is vital if public trust in the audit system is due to be restored after the scandals of Enron and WorldCom.

But Melancon currently has the public support of the AICPA board and calls for his resignation have so far been rebuffed. The body has been behind the failed system of self-regulation that the new accountancy oversight board has since replaced.

The AICPA is also having its role in the setting of audit standards severely restricted by the introduction of new legislation aimed at the audit profession.

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