Omnibus ethics exposure draft issued on proposed independence rule revisions.

• Position: Brief Article

In Mar., the Professional Ethics Executive Committee issued an exposure draft containing revisions to Rule 101--Independence for non-attest services, loans and leases. Comments are due May 19, 2003.

The exposure draft proposes several changes that would apply to members providing non-attest services to attest clients. These are: strengthening prerequisites for providing non-attest services; more restrictive rules for valuation, appraisal, actuarial and financial information systems-related services; requiring documentation of a member's understanding with a client before performing non-attest services; incorporating certain authoritative bodies' roles (e.g., the SEC or GAO) by reference, where applicable; and certain clarifications.

The proposal also addresses independence rules for certain...