Requirement (SOX)
Section 105: Investigations And Disciplinary Proceedings.
Requirements SOX
Description
Description
All documents and information prepared or received by the Board shall be "confidential and privileged as an evidentiary matter (and shall not be subject to civil discovery or other legal process) in any proceeding in any Federal or State court or administrative agency, . . . unless and until presented in connection with a public proceeding or [otherwise] released" in connection with a disciplinary action. However, all such documents and information can be made available to the SEC, the U.S. Attorney General, and other federal and appropriate state agencies.
Disciplinary hearings will be closed unless the Board orders that they be public, for good cause, and with the consent of the parties.
Sanctions can be imposed by the Board to a firm if it fails to reasonably supervise any associated person with regard to auditing or quality control standards, or otherwise.
No sanctions report will be made available to the public unless and until stays pending appeal have been lifted.
Comment
Concerns: all dealing with PCAOB