Big Four firm Deloitte & Touche and international firm Grant Thornton lost their bid to dismiss a class-action suit brought against them by investors of now-bankrupt Italian dairy conglomerate Parmalat.A federal judge in New York recently ruled that the accounting umbrella organizations couldn't insulate themselves from the actions of local affiliates in Italy that audited the company before its collapse from financial mismanagement and fraud in 2003.

Internal auditors have always had a problem expressing an opinion - or rather, expressing an opinion that others take the right way, with a proper understanding of its scope and type and the criteria used to produce it.The issue has come to the forefront recently as more corporate officers and audit committees respond to the demands of the Sarbanes-Oxley Act, especially Section 404, which requires officers to certify that their internal controls are sound and effective.

Barely a week after a federal jury found HealthSouth founder Richard Scrushy not guilty of participating in a massive accounting fraud, the Securities and Exchange Commission was preparing civil charges against the former chief executive.

In a divisive 3-2 vote, the Securities and Exchange Commission amended and re-approved a proposed rule requiring the directors of mutual funds to be independent that had been ruled against by a federal court in a lawsuit a little more than a week before.

President Bush nominated Roel Campos and Annette Nazareth as members of the Securities and Exchange Commission, the White House said in a statement Friday.

The Public Company Accounting Oversight Board has scheduled a meeting for Tuesday and will vote on finalizing two rules proposed in December and March. One rule deals with auditor independence and tax shelters, while the second concerns weak internal controls.

Immediatech Corp., the developer of GoFileRoom, a Web-based document management service for CPA firms, has had its GoFileRoom business acquired by the Thomson Corp.

Already with a lengthy to-do list before adjourning for its August recess, reports have Congress moving to address the future of the estate tax soon.

CPA2Biz has developed an Audit & Control Technology Store to provide valuable product guidance, reviews and discounted technology tools to CPAs and financial managers.

Senate lawmakers indicated they could hold confirmation hearings as early as next week for nominees to the Securities and Exchange Commission.

A California judge sanctioned accounting firm KPMG last week for hiding documents in a $50 million accounting malpractice suit brought by computer case and accessory supplier Targus Group International Inc.

The American Institute of CPAs has produced a toolkit for government audit committees, the third in a series.

Republican leaders have said that movement on President Bush's plans to overhaul Social Security is unlikely to happen until after Congress' August recess.

Qwest Communications International Inc.'s former finance chief, Robin Szeliga, pleaded guilty to insider trading last week.

According to the Association of Government Accountants, federal accountability and reporting is trending upwards.

The American Institute of CPAs has received a 2005 Summit Award from the American Society of Association Executives for its national 360 Degrees of Financial Literacy program.

Bally Total Fitness Holding Corp. said Wednesday that its new auditor, KPMG, will need more time to review the company's financial statements for 2002-2004.

Corporate officers or authorized agents can now sign employment tax forms by facsimile, including alternative signature methods such as computer software programs or mechanical devices.

The Financial Accounting Standards Board published a draft of a proposed interpretation, "Accounting for Uncertain Tax Positions," yesterday. The draft seeks to reduce the diversity in practices associated with recognition and measurement in the accounting for income taxes.

The U.S. Department of Labor reached an agreement Monday to set aside $356 million from the sale of Enron's assets to cover some of the bankrupt energy company's retirement and pension plan benefits.