The article looks at how audit committee members of small public companies choose auditors. They consider the auditors' inspection reports and past connections with management. The study shows that if an auditor was previously affiliated with management, they are less likely to be chosen by the audit committee. This suggests that auditor independence is important in the selection process. The findings have implications for auditors, public companies, audit committees, and regulators interested in corporate governance under the Sarbanes-Oxley Act.