Category Archives: Publications

June 2015 – Full Issue

Madoff’s CPA Sentenced

State Board Report June 2015 David G. Friehling, the outside auditor for Bernard L. Madoff Investment Securities LLC, the Ponzi scheme that came to light in 2008, was sentenced in May by Judge Laura Taylor Swain, in the Federal District Court in New York, to two years of supervised release, including one year in home…

SEC Chief Accountant Reports on IFRS

State Board Report June 2015 Since December the Securities and Exchange Commission’s staff has been hearing from preparers, investors, auditors, regulators and standard-setters about SEC Chief Accountant James Schnurr’s suggestion that domestic issuers be allowed to provide International Financial Report Standards (IFRS)- based information as a supplement to U.S. GAAP financial statements without requiring reconciliation.…

NASBA Praises PCC’s Performance

State Board Report June 2015 The accomplishments of the Private Company Council were given high marks in NASBA’s response to the Financial Accounting Foundation’s three-year review of the PCC. Besides recommending that the PCC continue being more than an advisory body to the Financial Accounting Standards Board (FASB), the letter from Chair Walter C. Davenport…

The Uniform CPA Examination is Changing

State Board Report June 2015 In 2013 the AICPA Board of Examiners (BOE) announced the launch of a new practice analysis in support of the Uniform CPA Examination. Completing a periodic practice analysis is essential to maintaining the legal defensibility of the Examination, which all 55 Boards of Accountancy use as part of the licensure…

President’s Memo: Top 10 Reasons for Attending NASBA Meetings

State Board Report June 2015 By the time you read this Memo, the 2015 NASBA Regional Meetings will be starting (June 17-19 Western and June 24-26 Eastern). From time to time, I have written about my concern that a few states are not able to attend NASBA meetings because of some bureaucratic resistance or outright…

CAC Produces Guide and Conference

State Board Report June 2015 Guidance on how a State Board should handle reports of failed peer reviews has been issued by the NASBA Compliance Assurance Committee. "Failed Reports Guidance" recommends practices for eight scenarios: initial peer review that results in (a) "pass with deficiencies" or (b) "fail" report; consecutive review after a review with…

ALEC’s Impact Seen in States

State Board Report June 2015 In monitoring the legislation introduced this past year, NASBA Director of Legislative and Governmental Affairs John Johnson has seen several states consider a version of the "Occupational Licensing Relief and Job Creation Act," initially proposed by the American Legislative Exchange Council (ALEC). The model legislation states: "An individual has a…

International NOCLAR Draft Released

State Board Report June 2015 A framework for "Responding to Non-Compliance with Laws and Regulations" (NOCLAR) has been released by the International Ethics Standards Board for Accountants (IESBA), with comments due by September 4, 2015. The IESBA has been working on this topic for several years, as the current proposals are based on responses to…

EBSA Issues Report on EBP Auditors

State Board Report June 2015 The U.S. Department of Labor’s Employee Benefits Security Administration (EBSA) released its anticipated report on "Assessing the Quality of Employee Benefit Plan Audits" on May 28. For the 2011 filing year, 81,162 audit reports on employee benefit plans (EBP) were submitted to the EBSA by 7,330 different CPA firms. To…