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Showing posts from November, 2013

New Michigan Law Will Apply "Generally Accepted Auditing Standards" to Unclaimed Property Audits

Last week, the Governor of Michigan signed  House Bill 4289  into law.  The new law revises the "Examination of Records" provision of the  Michigan Unclaimed Property Act  to provide certain specific standards relating to audit techniques, memorializes the holder's right to receive a copy of the audit report, and guidelines for the use of estimates in connection with unclaimed property audits.  For example the new law requires that audits conducted by the state (or by private firms on behalf of the state) "be performed in accordance with generally accepted auditing standards to the extent applicable to unclaimed property audits."  Those  Generally Accepted Auditing Standards  require, among other things, that an auditor maintain "independence in mental attitude in all matters related to the audit," which may provide a holder with some protection from unreasonable, overzealous, and/or legally incorrect positions taken by private auditing firms in connec