Audit & Accounting

Insurance company Equitable Life dropped a $3.7 billion lawsuit against accounting firm Ernst & Young, ending what had been the country's largest claim ever brought against an auditor.

William J. McDonough, chairman of the Public Company Accounting Oversight Board, announced that he will resign on Nov. 30 or when his successor is put in place, whichever occurs sooner.

It was a smooth first meeting for Securities and Exchange Commission Chairman Christopher Cox, with the panel voting unanimously to extend the deadline for when small companies will have to have their internal controls documented under Section 404 of the Sarbanes-Oxley law.

The former chairman of Gemstar-TV Guide International Inc. will plead guilty to obstructing a Securities and Exchange Commision investigation into accounting irregularities at the company.

The Public Company Accounting Oversight Board will host a forum in Boston to bring information to the small business community.

It's been several days now since Louisiana's treasurer called for the state to hire a Big Four firm to oversee the distribution of billions of dollars in Hurricane Katrina aid.

Louisiana's treasurer said the state should hire one of the Big Four firms to handle the accounting and auditing of the federal funds flowing into the state for the Hurricane Katrina recovery effort.

Three months after restating its 2004 earnings, stun gun manufacturer Taser International Inc. said it had fired its accounting firm.

Employer-sponsored retirement plans, including 401(k) programs, will be allowed to make loans and hardship distributions to victims of Hurricane Katrina and members of their families, the Internal Revenue Service said.

Interpublic Group of Companies Inc., which includes several of the world's largest advertising agencies, said in a filing with the Securities and Exchange Commission that it will correct four years of earnings spanning 2000 to 2004.