1938
1939
1940
1967
1970
1972
1973
1974
1976
1977
1978
1985
1987
1988
1989
McKesson & Robbins fraud
NYSE recommends the establishment of audit committees
SEC recommends that companies form audit committees—Accounting Series Release (ASR) No. 19
AICPA Executive Committee Statement on Audit Committees of Board of Directors recommends the establishment of audit committees
Penn Central bankruptcy
ASR Nos. 123 and 126
NYSE White Paper opines that audit committees are a necessity
ASR No. 165
Committees chaired by Senator Lee Metcalf and Congressman John Moss complete their investigations into the accounting profession AICPA forms Commission on Auditors’ Responsibilities (Cohen Commission)
Metcalf Committee Staff Report, The Accounting Establishment, is issued.
Foreign Corrupt Practices Act (FCPA)
AICPA Cohen Commission issues Commission on Auditors’ Responsibilities: Report, Conclusions, and
Recommendations. AICPA forms a special committee to consider the adoption of an audit committee requirement. NYSE requires companies with common stock issues registered on NYSE to have an audit committee
Congressman John D. Dingell convenes the first of a series of hearings into the effectiveness of independent auditors
National Commission on Fraudulent Financial Reporting (NCFRR/the Treadway Commission)
SEC’s five commissioners, by a narrow vote, decide not to require all public companies to have audit committees, but encourage their formation. Statement on Auditing Standards (SAS) No. 61, Communication with the Audit
Committees.

2000
2001
2002
2003
2004
1989
1991
1992
1993
1994
1995
1998
1999
The National Association of Securities Dealers (NASD) approves a requirement that National Market System companies (a subset of the over-the-counter market) must have audit committees. Statement on Internal
Auditing Standards No. 7 (SAIS No. 7) Communication with the Board of Directors
Federal Deposit Insurance Corporation Improvement Act
Committee of Sponsoring Organizations of the Treadway Commission (COSO) issues Internal Control-
Integrated Framework
Public Oversight Board of the AICPA’s SEC Practices Section releases In the Public Interest
Kirk Panel (Public Oversight Board of the AICPA’s SEC Practices Section) releases Strengthening the
Professionalism of the Independent Auditor
Public Oversight Board of the AICPA’s SEC Practices Section releases Allies in Protecting Shareholder Interests
SEC Chairman Arthur Levitt delivers speech at the NYU Center for Business and Law in which he calls for the
NYSE and Nasdaq to form a “blue ribbon committee” to study the role of the audit committee
Report and Recommendations of the Blue Ribbon Committee on Improving the Effectiveness of Corporate
Audit Committees. SAS No. 90, Audit Committee Communications. SEC Release No. 34-42266: Audit
Committee Disclosure. NYSE and Nasdaq adopt new listing requirements, mandating the existence, composition, director qualifications, and duties of an audit committee
POB’s Panel on Audit Effectiveness releases Report and Recommendations
Arthur Levitt, SEC Chairman, issues letter to audit committee chairmen
Sarbanes-Oxley Act
SEC Release Nos. 33-8177 and 34-47235: Disclosure Required by Sections 406 and 407 of the Sarbanes-Oxley
Act of 2002. SEC Release Nos. 33-8220 and 34-47654: Standards Relating to Listed Company Audit
Committees. SEC approved amendments to NYSE and the Nasdaq corporate governance listing standards.
NYSE submitted to the SEC for approval amendments to its corporate governance listing standards

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