the SEC has a strong case against goodbread for violating his independence because as it is stated on the AICPA website. independence shall be considered to be impaired if. During the period of the professional engagement a covered member was committed to acquire any direct or material indirect financial interest in the client In goodbread is case this refers to the fact that he had shares of stock in his possession when he was the audit engagement partner who oversaw the audit of koger properties, Inc. under the generally accepted auditing standards there are three sections, general standards, standards of fieldwork, and standards of reporting. under the general standards section of GAAS there is a specific standard for independence and it reads,