SC upholds SEC's authority to accredit CPAs as external auditors

The Supreme Court has upheld the Securities and Exchange Commission's (SEC) authority to accredit CPAs as external auditors for companies involved with registered securities or holding secondary licenses.

This affirmation came after the court denied 1Accountants Party-List, Inc.'s motion for reconsideration, reinforcing a previous ruling.

The Supreme Court stated that there were no significant reasons to reverse its earlier decision in favor of the SEC's regulatory power.

The SEC views this accreditation as crucial for enhancing regulatory oversight, strengthening investor protection in the securities market, and upholding the integrity of the financial sector.

The legal challenge was initiated by 1Accountants Party-List, Inc. against specific SEC rules concerning the accreditation of auditing firms and external auditors.