Sarbanes Oxley Free Essay, Term Paper and Book Report
Four years ago, in the wake of Enron and several accounting fiascos, Sen. Paul Sarbanes of Maryland and Rep. Michael G. Oxley of Ohio felt they needed a new tool -- one that could be used to stamp an unfortunately steady stream of corporate malfeasance. They got it with overwhelming support in both houses of Congress. The effort, however, unleashed unintended consequences.
The Sarbanes-Oxley Act established new, stricter standards for all U.S. public company boards, managements, and public accounting firms. It also established the Public Company Accounting Oversight Board to oversee the auditors of public companies.
One of the law's major provisions included a requirement that chief executive officers and chief financial officers sign off on company financial reports. No longer can the CEO plead accounting ignorance. The accounting buck clearly now stops at their desks.
The bill also mandates that companies listed on stock exchanges have completely independent audit committees to oversee the relationship between the companies and their auditors. In addition to these and many ot......
Word Count: 1128
Page Count: 4.5 (250 words a page / double spaced)
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