Ex-Andersens managing partner to head UK audit independence probe
Former Arthur Andersen managing partner Ian Hay Davison has been put in charge of the English ICA inquiry into audit independence rules in the UK.
In the wake of crackdown by US regulator the Securities and Exchange Commission into auditor independence, the institute’s Joint Monitoring Unit announced in February it would review the domestic regime.
Under Hay Davison, the Auditor Independence Working Party will now review revisions to the institute’s guidelines on auditor independence proposed by the Chartered Accountants Joint Ethics Committee.
It will also consider whether, in the light of the SEC’s inquiry, further changes are necessary to ‘strengthen that independence’.