More CPAs should be on audit committees - Speak Out!

California CPA, August, 2002

... In my opinion the chairman of [audit] committees should be a CPA. The CPA should be from a firm not connected with the independent auditors of the company. Someone on the audit committee should have the professional knowledge required to surface problem areas within the company and particularly be in a position to question what may be improper suggestions from management. The current requirement that members of the audit committee be "financially literate" does not go far enough to ensure that the members of the audit committee know what is right and wrong in the complex world of financial reporting. My suggestion would bring peer review to a whole new level. ... Our only hope is to detect these inevitable [fraudulent] schemes as early as possible and that can best be done by CPAs on the board of directors, in charge of the audit committee, working closely with a chief financial officer who is also a CPA.

RONALD MARLEY, CPA

Studio City

A forum for your comments, suggestions and reactions. Fire of your succinct missive to: editor@calcpa.org.