FOR IMMEDIATE RELEASE                             98-115


  Chairman Levitt Supports POB's Audit Effectiveness Panel
                              
                              
     Washington, D.C., October 26, 1998 --  Securities and
Exchange Commission Chairman Arthur Levitt thanked the
AICPA's Public Oversight Board for answering his call to
create a special panel to study the effectiveness of audits.
The panel, to be chaired by Shaun F. O'Malley, former
Chairman of Price Waterhouse LLP, will make a comprehensive
review of the current methods used to audit financial
statements and determine if the present model and recent
changes serve the interest of investors.

     Other members of the panel include Dennis H.
Chookaszian, Chair and CEO of CNA Insurance Companies; Paul
Kolton, former Chairman and CEO of the American Stock
Exchange and currently Chairman of the Steering Committee of
the Business Reporting Research Project for the Financial
Accounting Standards Board; Bevis Longstreth, Counsel to
Debevoise & Plimpton and former SEC Commissioner;  Louis
Lowenstein, Simon H. Rifkind Professor Emeritus of Finance
and Law, Columbia University; Zoe-Vonna Palmrose,
PricewaterhouseCoopers Auditing Professor at University of
Southern California; Aulana Peters, Partner, Gibson, Dunn &
Crutcher and former SEC Commissioner; and Ralph S. Saul,
former President of the American Stock Exchange and CEO of
CIGNA Corporation.

     Chairman Levitt stated, "American investors are
fortunate that a group as distinguished as this is looking
out for their best interests.  I thank each of these members
for their time and commitment to such an important task and
eagerly await their findings and recommendations."  Lynn
Turner, Chief Accountant, said "I applaud the POB for
establishing this panel to help ensure the continued
integrity of the accounting profession and look forward to
working with them."


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