03 December 2017

US Corporate Law News: PCAOB enters into cooperative agreement with Irish audit regulator

Gregory Pun
Associate | US

On November 2, 2017, the Public Company Accounting Oversight Board (PCAOB) announced its entry into a cooperative agreement with the Irish Auditing and Accounting Supervisory Authority (IAASA). The agreement allows for cooperation between the PCAOB and IAASA, including joint inspections, in the oversight of audit firms subject to both organizations' jurisdictions. The PCAOB and IAASA also will be able to exchange confidential information as allowed under applicable Irish law and the Sarbanes-Oxley Act of 2002 (SOX). SOX requires the PCAOB to oversee and inspect all accounting firms that regularly audit public companies whose securities trade in U.S. markets. Currently, there are almost 900 PCAOB-registered audit firms located outside the U.S. in 84 countries, including 12 registered firms in Ireland (firms registered in Ireland currently audit issuers listed on U.S. exchanges with a collective market capitalization of about $75 billion). Including the IAASA agreement, the PCAOB now has cooperative agreements with 15 European audit regulators; a few cooperative agreements remain under negotiation in Europe. For more information, see https://pcaobus.org/News/Releases/Pages/cooperative-agreement-Ireland-11-2-17.aspx.

Gregory Pun Associate | Greenwich

Category: Article