WASHINGTON The House passed two financial services bills on Monday that would retain a public company's choice of external auditors and require the Financial Stability Oversight Council to study the impact of derivatives provisions under the Basel III capital standards.
The Audit Integrity and Job Protection Act, which would prohibit the Public Company Accounting Oversight Board from requiring a public company to change its external auditor on a rotating basis, passed the House by a vote of 321-62. The accounting board several years ago said it was considering the measure. The House Financial Services Committee approved the legislation last month by a unanimous 52-0 vote.
The Financial Competitive Act of 2013 would ask the FSOC to investigate how differing implementation of Basel III's derivatives credit valuation adjustment capital requirement across different countries would affect the U.S. economy and provide recommendations for bringing more uniformity to the standards. It passed the House by a vote of 353-24. The banking panel passed the legislation in May by a vote of 59-0.