FOR IMMEDIATE RELEASE
2000-114

          ADDITIONAL INFORMATION CONCERNING SECOND
    PUBLIC HEARING ON AUDITOR INDEPENDENCE RULE PROPOSAL


     Washington, DC, August 17, 2000 -  Today the Securities
and Exchange Commission announced additional information
concerning its second public hearing on the proposed auditor
independence rules.

What:  The Commission will conduct a second hearing to
solicit the views of the public on its proposal to modernize
the auditor independence rules.

When:  Wednesday, September 13, 2000, 9:00 a.m.

Where:  Pace Downtown Theatre at Pace University
       Spruce Street between Park Row and Gold Street
       New York, New York
       (across from City Hall Park)

Testimony:  Any member of the public wishing to testify at
the hearing must submit a written request to the Commission,
which must be received by August 25, 2000.  Persons
requesting to testify must submit three copies of their oral
statement or a summary of their intended testimony to the
Commission, which must be received by September 5, 2000.
(Those who do not wish to appear at the hearings, but want
their views included in the public file, may submit written
comments by September 25, 2000.)

Requests to testify, oral statements or summaries, and
written comments should be mailed to Jonathan G. Katz,
Secretary, Securities and Exchange Commission, 450 Fifth
Street, N.W., Washington, D.C. 20549 or submitted
electronically at rule-comments@sec.gov.   The words
"Request to Testify" should be clearly noted on the subject
line of the request.  All requests and other submissions
also should refer to Comment File No. S7-13-00.

Format:  After September 5, 2000, the Commission will
publish a schedule of witnesses.  Based on the number of
requests received, the Commission may not be able to
accommodate all requests to testify at the hearing.  The
Commission also may limit the time for formal presentations
or group presentations into a series of panels.  Time will
be reserved for members of the Commission and Commission
staff to pose questions to each witness concerning his or
her testimony as well as other matters pertaining to the
rule proposal.  Jonathan G. Katz, Secretary of the
Commission, will serve as the hearing officer.
                            * * *
                              
Summary of Rulemaking:  The proposals modernize the
Commission's auditor independence requirements by providing
governing principles for determining whether an auditor is
independent in light of: investments by auditors or their
family members in audit clients, employment relationships
between auditors or their family members and audit clients,
and the scope of services provided by audit firms to their
audit clients.

The proposals would, among other things:

  *    significantly reduce the number of audit firm employees
     and their family members whose investments in audit clients
     are attributed to the auditor;

  *    identify certain non-audit services that, if provided
     to an audit client, would impair an auditor's independence.
     (The scope of services proposals would not extend to
     services provided to non-audit clients.);

  *    provide a limited exception for accounting firms that
     have certain quality controls and satisfy other conditions;
     and

  *    require companies to disclose in their annual proxy
     statements certain information about, among other things,
     non-audit services provided by their auditors during the
     last fiscal year.

Contacts:  John M. Morrissey, Deputy Chief Accountant and W.
Scott Bayless, Associate Chief Accountant, Office of the
Chief Accountant at (202) 942-4400.






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