{"data":{"id":"us/12-cfr-621.32","jurisdiction":"us","citation":"12 CFR 621.32","heading":"Conflicts of interest and rotation.","body":"(a) Conflicts of interest. (1) A Farm Credit institution may not engage a qualified public accountant to conduct the institution's audit if the accountant uses a partner, concurring partner, or lead member in the audit engagement team who was a director, officer or employee of the Farm Credit institution within the past year.\n(2) A Farm Credit institution may not make an employment offer to a partner, concurring partner, or lead member serving on the institution's audit engagement team during the audit or within 1 year of the conclusion of the audit engagement.\n(b) Rotation. Each institution may engage the same lead and reviewing audit partners of a qualified public accountant to conduct the institution's audit for no more than 5 consecutive years. The institution must then require the lead and reviewing audit partners assigned to the institution's audit team to rotate out of the audit team for 5 years. At the end of 5 years, the institution may again engage the audit services of those lead and reviewing audit partners.","path":["Title 12—Banks and Banking","CHAPTER VI—FARM CREDIT ADMINISTRATION","SUBCHAPTER B—FARM CREDIT SYSTEM","PART 621—ACCOUNTING AND REPORTING REQUIREMENTS","Subpart E—Auditor Independence"],"source_url":"https://www.ecfr.gov/api/versioner/v1/full/2026-08-25/title-12.xml","current_through":"2026-08-25","vintage":"","retrieved_at":"2026-08-27T02:24:16Z","sha256":"e55b070071eb53bd13dbe2d0e53ed6a09a55b93eac0a41351ad8a8456a487449","source_id":"us-cfr","stale":true,"prev":"us/12-cfr-621.31","next":"us/12-cfr-622.1"},"notice":"GroundRules: Original legal text. Not legal advice."}