OCC 2003-38	
OCC BULLETIN	

Subject:      Removal, Suspension, and Debarment of Accountants from 
              Performing Annual Audit Services
Description:  Publication of Final Rule

Date:         September 3, 2003 

TO:  Chief Executive Officers of All National Banks, Federal 
     Branches and Agencies, Department and Division Heads, and All 
     Examining Personnel

The attached final rule, published in the Federal Register on August 
13, 2003, concerns the removal, suspension, and debarment of 
accountants from performing annual audit and attestation services.  
The final rule will become effective on October 1.  

Section 36 of the Federal Deposit Insurance Act (FDIA) requires that 
each national bank with $500 million or more in total assets submit 
an annual report on its financial statements and required management 
assessments to the Comptroller of the Currency (OCC).  An 
independent public accountant must audit these financial statements 
to determine whether they are presented in accordance with generally 
accepted accounting principles.  

The final rule amends 12 CFR 19 to establish rules of practice and 
procedure for the removal, suspension, and debarment of accountants 
from performing section 36 annual audit services.  The rule does not 
create new standards for the accounting industry, but rather relies 
on existing statutory, regulatory, and professional requirements, 
such as generally accepted auditing standards.  This final rule was 
issued jointly by the OCC, the Board of Governors of the Federal 
Reserve System (FRB), the Federal Deposit Insurance Corporation 
(FDIC), and the Office of Thrift Supervision (OTS).  The agencies’ 
final rules are substantively identical. 

For further information, contact Mitchell Plave, counsel, 
Legislative and Regulatory Activities Division, (202) 874-5090, or 
Richard Shack, senior accountant, Office of the Chief Accountant, 
(202) 874-4911. 


Julie L. Williams
First Senior Deputy Comptroller and Chief Counsel


Attachment: 68 FR 48256
[http://www.occ.treas.gov/fr/68fr48256.pdf]