SEC Targets Auditing ‘Bad Actors’ With New Enforcement Team

The US Securities and Exchange Commission is creating a new enforcement team to target “bad actors” in the auditing profession after the agency cut the budget of the independent board that traditionally polices those responsible for vetting company financial statements.

In a federal jobs posting, the SEC’s enforcement division said it is seeking applications for a senior attorney and manager in its new “SOX Group” — a reference to the landmark Sarbanes-Oxley Act passed after the collapse of Enron Corp. The new unit will investigate and litigate matters involving potential violations of Sarbanes-Oxley auditing standards and provisions, according to the posting.