15 U.S. Code § 7215 - Investigations and disciplinary proceedings
The Board shall establish, by rule, subject to the requirements of this section, fair procedures for the investigation and disciplining of registered public accounting firms and associated persons of such firms.
In accordance with the rules of the Board, the Board may conduct an investigation of any act or practice, or omission to act, by a registered public accounting firm, any associated person of such firm, or both, that may violate any provision of this Act, the rules of the Board, the provisions of the securities laws relating to the preparation and issuance of audit reports and the obligations and liabilities of accountants with respect thereto, including the rules of the Commission issued under this Act, or professional standards, regardless of how the act, practice, or omission is brought to the attention of the Board.
Any action taken by the Board under this paragraph shall be subject to the terms of section 7217(c) of this title.
The Board shall notify the Commission of any pending Board investigation involving a potential violation of the securities laws, and thereafter coordinate its work with the work of the Commission’s Division of Enforcement, as necessary to protect an ongoing Commission investigation.
Except as provided in subparagraphs (B) and (C), all documents and information prepared or received by or specifically for the Board, and deliberations of the Board and its employees and agents, in connection with an inspection under section 7214 of this title or with an investigation under this section, 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, and shall be exempt from disclosure, in the hands of an agency or establishment of the Federal Government, under the Freedom of Information Act (5 U.S.C. 552a), or otherwise, unless and until presented in connection with a public proceeding or released in accordance with subsection (c) of this section.
Hearings under this section shall not be public, unless otherwise ordered by the Board for good cause shown, with the consent of the parties to such hearing.
It shall be unlawful for any person that is suspended or barred from being associated with a registered public accounting firm under this subsection willfully to become or remain associated with any registered public accounting firm, or for any registered public accounting firm that knew, or, in the exercise of reasonable care should have known, of the suspension or bar, to permit such an association, without the consent of the Board or the Commission.
It shall be unlawful for any person that is suspended or barred from being associated with a registered public accounting firm under this subsection willfully to become or remain associated with any issuer, broker, or dealer in an accountancy or a financial management capacity, and for any issuer, broker, or dealer that knew, or in the exercise of reasonable care should have known, of such suspension or bar, to permit such an association, without the consent of the Board or the Commission.
Application to the Commission for review, or the institution by the Commission of review, of any disciplinary action of the Board shall operate as a stay of any such disciplinary action, unless and until the Commission orders (summarily or after notice and opportunity for hearing on the question of a stay, which hearing may consist solely of the submission of affidavits or presentation of oral arguments) that no such stay shall continue to operate.
 See References in Text note below.
This Act, referred to in subsecs. (b)(1), (5)(B)(ii), (C)(i), (6) and (c)(3)(B), (4), (6)(A), is Pub. L. 107–204, July 30, 2002, 116 Stat. 745, known as the Sarbanes-Oxley Act of 2002. For complete classification of this Act to the Code, see Tables.
2010—Subsec. (b)(4)(B)(ii) to (iv). Pub. L. 111–203, § 982(i), added cl. (ii) and redesignated former cls. (ii) and (iii) as (iii) and (iv), respectively.
Subsec. (b)(5)(A). Pub. L. 111–203, § 981(c), substituted “subparagraphs (B) and (C)” for “subparagraph (B)”.
Subsec. (b)(5)(B)(ii)(V). Pub. L. 111–203, § 982(j), added subcl. (V).
Subsec. (b)(5)(C). Pub. L. 111–203, § 981(b), added subpar. (C).
Subsec. (c)(6)(A). Pub. L. 111–203, § 929F(h)(1), substituted “any person who is, or at the time of the alleged failure reasonably to supervise was, a supervisory person” for “the supervisory personnel” in introductory provisions.
Subsec. (c)(6)(B). Pub. L. 111–203, § 929F(h)(2), in introductory provisions, substituted “No current or former supervisory person” for “No associated person” and “any associated person” for “any other person”.
Subsec. (c)(7)(B). Pub. L. 111–203, § 982(f), in heading, inserted “, broker, or dealer” after “issuer” and, in text, substituted “a registered public accounting firm under this subsection” for “an issuer under this subsection” and “any issuer, broker, or dealer” for “any issuer” in two places.
2008—Subsec. (b)(5)(B)(ii)(II). Pub. L. 110–289 inserted “and the Director of the Federal Housing Finance Agency,” after “Commission,”.
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