On August 24, sixteen Republican state attorneys general (AGs) sent a 38-page letter to the chief executives of Deloitte, EY, KPMG and PwC, copying the SEC’s Chairman and its Director of Enforcement. The AGs allege that the firms compromised their professional independence by publicly supporting climate-related disclosure, and end with thirty-eight demands for documents.

We come at this from opposite political directions and agree on the following. This letter continues the effort to pressure participants across the financial markets to ignore the potential financial implications of climate risks. Like the July 2025 State Financial Officers Foundation’s letter to asset managers regarding ESG, to which we responded in Here We Go Again: Red States Continue to Focus on ESG, it sets a dangerous precedent for all sides.  In this shot at accounting firms, the AGs ask the wrong questions, misunderstand the standards that purportedly support their claims, and insinuate conflicts with no factual evidence. Regardless of one’s views on climate disclosure, targeting groups of professionals in this manner can distort the functioning of free markets and have unintended consequences. Indeed, once unleashed, misfires can ricochet.

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