Why should an artificial state-created entity, like a corporation have any lawyer-client privilege? I say repeal it by statute, at least for SEC registrants. I said this 30 years ago! As to chilling internal investigations, so? What are they if not top management hiring an outside law firm to find middle-management scapegoats for top management nonfeasance, malfeasance or misfeasance? I say, "end it. You can't mend it". I have long deplored the Justice Department and SEC using corporate counsels as "private attorneys general" to police their employers.
CPAs are "looking further behind the corporate veil". Wonderful. Where were they before Enron? What is it the CPAs think they were being paid to do?
Judge Hellerstein's opinion is on firm legal ground. The Supremes chimed in on this in US v. Arthur Young, 465 US 805 (1984). 23 years ago?! What led anyone to believe a privilege existed to hide material information from an SEC registrant's auditors?