Anonymous ID: 1e1fed Sept. 21, 2022, 3:39 p.m. No.17557963   🗄️.is 🔗kun   >>7973 >>7988 >>8005 >>8086 >>8135 >>8168

pb>>17557402 >>17557073

Peekaboo prosecution’ turns 20

Russell G. Ryan, Opinion Contributor - Jul 8

Imagine a dystopian world where Congress empowers a private corporation to secretly investigate and punish members of a particular profession — say, auditors. Think of a private version of the Securities and Exchange Commission (SEC), but with evergreen funding that never requires an appropriation from Congress and with lavishly compensated personnel who are exempt from laws designed to keep governmental regulators in check.


Found this doc that may explain the post above, was James involved with SEC and PCAOB

Peekaboo! PCAOB More Powerful and Less Accountable than Government Claims

• Jonathan Moore • 12/04/2009

On December 7, the U.S. Supreme Court will hear Free Enterprise Fund v. Public Company Accounting Oversight Board. The case, brought by CEI and Jones Day attorneys on behalf of the Free Enterprise Fund, challenges the constitutionality of the wayPublic Company Accounting Oversight Board (also known as PCAOB, or not so affectionately as Peekaboo)members are appointed.

The PCAOB, which was established by the Sarbanes-Oxley Act of 2002, is an independent governmental agency (according to Sarbanes-Oxley it is a private institution, but even supporters of the Board’s structure admit that it is a governmental body) whose members are selected by the SEC commissioners collectively. The lawyers arguing the case argue that this selection process violates the appointments clause of the Constitution.

The Constitution, in Article 2 sec. 2, establishes that the President “Shall have Power, by and with the Advice and Consent of the Senate to… nominate, and by and with the Advice and Consent of the Senate, shall appoint Ambassadors, other public Ministers and Consuls, Judges of the supreme Court, and all other Officers of the United States, whose Appointments are not herein otherwise provided for, and which shall be established by Law: but the Congress may by Law vest the Appointment of such inferior Officers, as they think proper, in the President alone, in the Courts of Law, or in the Heads of Departments.”

According to the Constitution, the President is responsible for appointing what has later been defined as “principal officers.” Further, if the officers are deemed to be “inferior officers,” Congress may give appointment power to the President, a judge, or the head of a department. Lawyers for the Free Enterprise Fund charge that regardless of whether the PCAOB members are principal or inferior, the Constitution has been violated. The President does not appoint the board members, and as such, if they are principal officers, the Constitution has been violated. If the board members, however, are inferior officers, they have not been appointed by a head of a department, rather, they have been appointed by the SEC commissioners.

Lawyers defending the constitutionality of the PCAOB have charged that the board members are inferior officers, and that the SEC commissioners collectively are the head of the SEC. Further, they claim that the SEC has complete control over the PCAOB through several powers, including the power to review all PCAOB rules, and approving the PCAOB’s budget. As such, they argue, this direct supervisory authority makes the PCAOB clear inferior officers, and since the President has control over the SEC commissioners, who have control over the PCAOB, the President has “fully effective control” over the PCAOB.

Yesterday, however, at an American Enterprise Institute event titled “Public Company Accounting Oversight Board: A Preview”, former SEC Commissioner (2002-2008) Paul Atkins provided an alternative story of the SEC’s control over the PCAOB, as well as refuting the claim that the SEC commissioners are collectively the head of the SEC.

Atkins noted several areas in which the PCAOB managed to evade SEC controls and operate very independently of the SEC. First, he stated that the PCAOB’s budget was not nearly as under control by the SEC as has been claimed. Atkins stated that the “staff at Peekaboo were not telling the truth” to the SEC about the PCAOB’s budget. His experience at the SEC led him to the conclusion that the SEC “didn’t really have the authority it supposedly did” over the PCAOB’s budget.

Anonymous ID: 1e1fed Sept. 21, 2022, 4:01 p.m. No.17558086   🗄️.is 🔗kun   >>8135 >>8140 >>8149 >>8168


The rest of the article

Peekaboo! PCAOB More Powerful and Less Accountable than Government Claims

At one point, the SEC asked the PCAOB for a business plan regarding their operations. The PCAOB chairman informed the SEC that Sarbanes-Oxley “was his business plan” and for five years the PCAOB evaded the SEC’s demand for a business plan.

After the PCAOB produced their “Audit Standard 2”, “all five” SEC commissioners were in favor of “radical” changes to it, and yet it took the SEC years to even make “some” changes to the auditing standards due in part to PCAOB recalcitrance.

He stated that the PCAOB used “informal rulemaking” to adopt “staff-driven” rules which evaded the need to obtain SEC approval for all rules. As an example, he says that the PCAOB’s rule making regarding stock options was “not subject to any rule at all” despite functioning as a rule.

Atkins directly refuted the claim that the SEC has plenary power over the PCAOB, stating bluntly that the SEC’s “power is not plenary” regarding the PCAOB. He even said that a good analogy for SEC oversight of the PCAOB was that of “pushing on a string”.

Atkins also implied that considering the SEC commissioners as a collective head for the SEC was ignoring the realities of the day-to-day operation of the SEC. He stated that the chairman has considerably more power than the other commissioners. He noted that the 1950 Reorganization Plan 10 gave “authority over the budget” and “HR decisions” to the SEC’s chairman. He did say that consensus among the commissioners is generally important, but said that “in reality, he can still appoint whoever he wants” to critical appointment posts. And yet, this does not apply to the PCAOB, who are appointed collectively by the SEC. Further, Atkins even questioned whether or not the President had direct power over the SEC, a lynchpin of the defenders of the SEC’s argument. He stated that the SEC’s history “illustrates how difficult it is for the President to assert authority” over the SEC, much less the PCAOB.

Atkins’ telling of the SEC and PCAOB’s relationship calls much of the PCAOB’s legal defense into question. If the SEC lacks reliable control over the PCAOB, how can the President have “fully effective control” over the PCAOB? If, one wonders, the SEC chairman is treated as the appointer for other positions within the SEC, which implies that he is the head of the department, why is it that he does not have the power to appoint the PCAOB members? And why is the SEC chairman sufficiently powerful to act as the head in all other appointment cases, but when it comes to the PCAOB he must act as an equal to his fellow commissioners? And further, if the President lacks even control over the SEC, how can he truly have control over the PCAOB members, who are an additional step further down the chain of command?

These are some questions the justices should be asking on December 7.

Anonymous ID: 1e1fed Sept. 21, 2022, 4:09 p.m. No.17558113   🗄️.is 🔗kun




Hi, I’m a lifelong Family Friend of Cayler’s Mom Sheri Larson Ellingson. Sheri and my younger sister were very close friends I had spent many years with Sheri and as the years we grew older and Sheri was united in marriage with her Husband Cole Ellingson and they made their home in Grace City ND, raising two wonderful and loving Sons, Chase and Cayler. Chase and Cayler are the heart of Sheri and Coles life. Unfortunately, in the early hours on Sunday, September 18, 2022 their lives changed forever. Cayler was taken way too soon from them and their other son Chases Life A thing no parent should ever have to endure in their life, is to lose a child. Cayler has went to heaven and will be missed by his Mom, Dad, Brother, Uncles, Aunts, cousins many Family and Friends. With this being said I would like to set a goal to help Sheri, Cole and Chase with Funeral expenses and anything to help them through this whole grieving process. Sheri is a Carrington ND graduate in my home town along with Chase and Cayler. Cole grew up in the Grace City area. Please lend a helping hand to help this family in such a huge and tragic loss of Cayler. God Blessings and Prayers to all of Cayler’s Family and Friends.


Updates (3)

Today by Nicole Clifton Geiszler, Organizer

We have now over doubled our fundraising goal in Honor of Cayler and the wonderful young man he was. I thank each and everyone of you personally and I know the Family of Cayler’s does as well. Thank you for honoring and supporting Cayler for who he truly was. A young man with his whole adult life ahead of himself. So much stripped away from himself and from his family. They now have to endure a path no parent wants, no parent should have to endure. His innocent life he had yet to look forward to and live for. His parents will never see their young son graduate college, get married or have grandchildren. It’s all come down to thee worst nightmare or call any of us parents want or should ever have to go through.

Please let me thank you for the family and know that they feel the heartfelt messages, generosity and kindness from all of you! It’s hard for them to explain at this moment in time. But know how loved they feel from each and everyone of you in honoring their son Cayler

God Blessing to all of you for honoring him and to Cayler’s Family and Friends.


Anonymous ID: 1e1fed Sept. 21, 2022, 4:15 p.m. No.17558149   🗄️.is 🔗kun


A Huawei Recovery Plan, Step 1: Playing “Peekaboo” (PCAOB Compliance)

Perhaps the simplest idea involves an unusual branch of the American financial regulatory system, the Public Company Accounting Oversight Board, known by its acronym PCAOB –– usually pronounced “Peekaboo.”

What is “Peekaboo”?

The PCAOB is essentially a “subsidiary” of the Securities & Exchange Commission (the Federal Reserve and the Treasury Department both have a hand in game as well). PCAOB was created by Congress in 2002 in response to the Enron scandal, which involved serious accounting and auditing failures. The accounting industry’s then-prevailing regime of self-regulation was seen as inadequate. PCAOB was designed to oversee, standardize and regulate the auditing process for U.S. public companies.


As a matter of law, every company traded on theNew York Stock Exchange or NASDAQ is subject to PCAOB oversight of its audits, regardless of its home country. PCAOB has a global reach. It exercises oversight for firms based in Canada, Mexico, Scandinavia, Germany, Italy, Russia, India, Australia, South Africa, Nigeria… PCAOB has international agreements with dozens of countries, to address both the supervision of American multinationals operating in various foreign jurisdictions, and the needs of foreign firms seeking access to American capital markets. PCAOB has become a part of the U.S. financial hegemony, projecting the standards of our capital markets around the world.

Peekaboo’s China Problem

Except – not quite. China does not allow Chinese firms and auditors to cooperate with the PCAOB. They are the only major country that takes this stand. In its publication entitled “China-Related Access Challenges” the PCAOB states


• “Positions taken by Chinese authorities impede our ability to oversee audit firms in mainland China and Hong Kong. Specifically, these positions impair our ability to conduct inspections and investigations of the audits of public companies with China-based operations and whether we will obtain access remains an open issue. This affects our ability to oversee audit work on behalf of investors in U.S. capital markets.”

• “The PCAOB spent significant time and resources negotiating a Memorandum of Understanding (MOU) with the Chinese authorities for enforcement cooperation. Unfortunately, since signing the MOU in 2013, Chinese cooperation has not been sufficient … nor have consultations undertaken through the MOU resulted in improvements.”


Despite this, Chinese firms have flocked to U.S. exchanges. There are today 138 Chinese companies listed on NYSE and Nasdaq NDAQ -1.1% – more than twice as many companies as from the UK, Germany, France, and Italy combined – and there are another 152 Chinese companies trading on the Over-The-Counter Market. The China contingent makes up 3.3% of the total market capitalization of the U.S. stock market, approximately $1.2 Trillion – up by a factor of 12 in the last 10 years.