---
kind: "section"
citation: "15 U.S.C. § 7242"
title: "15"
title_heading: "Commerce and Trade"
number: "7242"
heading: "Improper influence on conduct of audits"
release: "119-102"
date: "2026-07-12"
url: "https://uscodex.org/usc/15/7242"
units:
  - "Chapter 98 — Public Company Accounting Reform and Corporate Responsibility"
  - "Subchapter III — Corporate Responsibility"
---

# §7242. Improper influence on conduct of audits

- (a) **Rules to prohibit—** It shall be unlawful, in contravention of such rules or regulations as the [Commission](/usc/15/7201.md?p=6) shall prescribe as necessary and appropriate in the public interest or for the protection of investors, for any officer or director of an [issuer](/usc/15/7201.md?p=7), or any other [person](/usc/15/7a.md?p=6) acting under the direction thereof, to take any action to fraudulently influence, coerce, manipulate, or mislead any independent public or certified accountant engaged in the performance of an [audit](/usc/15/7220.md?p=1) of the financial statements of that [issuer](/usc/15/7201.md?p=7) for the purpose of rendering such financial statements materially misleading.
- (b) **Enforcement—** In any civil proceeding, the [Commission](/usc/15/7201.md?p=6) shall have exclusive authority to enforce this section and any rule or regulation issued under this section.
- (c) **No preemption of other law—** The provisions of [subsection (a)](#a) shall be in addition to, and shall not supersede or preempt, any other provision of law or any rule or regulation issued thereunder.
- (d) **Deadline for rulemaking—** The [Commission](/usc/15/7201.md?p=6) shall—
  - (1) propose the rules or regulations required by this section, not later than 90 days after July 30, 2002; and
  - (2) issue final rules or regulations required by this section, not later than 270 days after July 30, 2002.

## Source credit

(Pub. L. 107–204, title III, § 303, July 30, 2002, 116 Stat. 778.)