Latest Compliance News
Tuesday, January 16th, 2007| The Sarbox changes recommended by the Securities and Exchange Commission last month are a good start, according to many observers, but they don’t do enough. Funny that very few of those complaining go as far as to suggest additional changes. | ||
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When the new Congress began its session last week, two familiar faces were not present: Sen. Paul S. Sarbanes and Rep. Michael G. Oxley, who are both retiring. Sarbanes, a Maryland Democrat, has served for 30 years; Oxley, an Ohio Repub-lican, for 26 — and their main legacy will be their joint attack on corporate corruption, the Sarbanes-Oxley Act of 2002.
The act, which was passed hastily in the wake of the Enron scandal, was surely well-intentioned. But it has proven counterproductive in the extreme, and Congress would best honor the departing lawmakers by repealing it.
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Rollback of Sarbanes-Oxley law would hurt U.S. investors Critics trying to build support for a rollback of corporate reform laws argue that they’re way too costly and have taken all the fun out of doing business in America. Those are lame excuses.
The latest rant comes from Shutterfly Inc. chairman Jim Clark. He said he is leaving the online photo company because the Sarbanes-Oxley law has taken reform “too far” and was crimping his ability to lead the way he wanted.
Next time he reads about another company swept up in the stock-options backdating scandal or hears of increased fraud in foreign financial markets, then maybe he’ll wake up to the benefits of reform.
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ALL BUSINESS: Sarbanes-Oxley Is a Must (AP via Yahoo! Asia News)
Critics trying to build support for a rollback of corporate reform laws argue that they’re way too costly and have taken all the fun out of doing business in America.
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