Sarbanes Oxley Compliance

Sarbanes Oxley Corporate Regulatory Compliance

2015-11-04T17:25:00.000-08:00

SOX Compliance

Sarbanes Oxley Compliance offers IT Governance, Internal Control, SOX compliance, CobiT, IT Auditing, SEC SOX, ITIL, Audit IT Security and Sarbanes Oxley Act Section 404 information for regulatory and corporate compliance.

Sarbanes-Oxley and the Chief Information Officer

2008-10-08T11:32:00.000-07:00

Sarbanes-Oxley Section 302 and and Section 906 requires that the CEO and CFO certify the accuracy of the company’s financial statements. An erroneous certification could result in criminal and civil penalties. The essence of the certifications is similar and some organizations require that the Chief Information Officer and other members of management to sign employee subcertifications.

Although the Sarbanes-Oxley Act of 2002 does not specifically require Chief information officers to certify the company's financial information, CIO's need to monitor the enterprise processes for auditing and reporting financial information and transactions as Information Technology IT has and important relationship to the company's financial reporting system.

Back to: Sarbanes Oxley CobiT Forward to: Sarbanes-Oxley Compliance

COBIT Control Objectives for Information and related Technology

2008-09-20T08:58:00.000-07:00

COBIT Control Objectives for Information and related Technology, is a set of objectives and best practices for technology and information systems management. It was created by the IT Governance Institute in 1992. This framework provides users, auditors and business managers with generally accepted best practices and processes to help maximize the benefits of information technology, governance and control in companies and organizations.

Back to: Sarbanes-Oxley Whistleblower Forward to: Sarbanes Oxley CIO

Sarbanes Oxley Whistleblower

2008-08-26T06:17:00.000-07:00

The Sarbanes-Oxley Act creates protections for "whistleblowers".

Sarbanes-Oxley Section 806 requires corporations to set up a formal whistleblowing programs that protects the anonymity of informants and protects them from reprisals. The act prohibits a publicly traded company from discharging, demoting, suspending, threatening, harassing, discriminating, or retaliating against an employee because they have filed a complaint or assisted with an investigation into securities fraud.

Because the act imposes strict penalties for not properly reporting financial information, it is important that employees understand corporate rules and also how they will be protected from retaliatory action in supporting the overall goals and mission of the company.

Back to: Sarbanes-Oxley and the CFO Forward to: COBIT Framework

Sarbanes-Oxley and the Chief Financial Officer

2008-08-19T11:31:00.000-07:00

The Chief Financial Officer and the finance department carry the burden of demonstrating to investors and auditors that the company is in compliance with Sarbanes-Oxley.

Although the Chief Executive Officer (CEO), along with the CFO, must certify that financial reports are in compliance. The CFO's responsibility and personal liability is equal that that of any person or entity in the organization. This represents a significant change in how the CFO and finance department are perceived within the company. Finance departments are no longer just the department that keeps track of the money. The CFO and finance professionals in the company have become in integral component of good corporate governance and candid disclosure.

Under Sarbanes-Oxley the CFO is responsible for:

Certifying all reports that contain financial statements.
Certifying annual and quarterly financial reports.
Establishing and maintaining internal controls.

Back to: Sarbanes Oxley Impact Forward to: Sarbanes-Oxley Whistleblower

Sarbanes-Oxley Impact on the Company

2008-08-14T17:46:00.000-07:00

Corporate culture is, for the most part, profit driven. With the advent of Sarbanes-Oxley, how results are achieved and how they are communicated becomes far more important.

The Chief Executive Officer (CEO) and Chief Financial Officer (CFO) are responsible for certifying that financial information and reports are accurate and truthful, and that the processes and procedures that generated these reports are effective and dependable.

Since management must certify that financial statements are accurate, all professionals within the organization will have to observe higher professional standards. Goals and expectations must be reasonable. Budgets and estimates must be fundamentally sound. Corporate communication must be open without concealing material information.

Implementing best practice approaches and due diligence is a rigorous undertaking. But these processes provide a reliable means for both management and investors to have confidence that the financial information being reported is accurate.

Back to: Key Provisions Sarbanes-Oxley Forward to: Sarbanes-Oxley and the CFO

Key Provisions of Sarbanes-Oxley

2008-08-13T15:03:00.000-07:00

The Sarbanes-Oxley Act consists of 11 titles:

1) Public Company Accounting Oversight (sections 101-109)
2) Auditor Independence (sections 201-209)
3) Corporate Responsibility (sections 301-308)
4) Enhanced Disclosures (sections 401-409)
5) Analyst Conflicts of Interest (section 501)
6) Commission Resources and Authority (sections 601-604)
7) Studies and Reports (sections 701-705)
8) Corporate and Criminal Fraud (sections 801-807)
9) White-collar Crime Penalty Enhancements (sections 901-906)
10) Corporate Tax Returns (section 1001)
11) Corporate Fraud and Accountability (sections 1101-1107)

Key sections include:
Section 101 establishes the Public Company Accounting Oversight Board (PCAOB).
Section 103 sets forth the duties of the PCAOB, namely, establishing auditing, quality control, ethics, independence, and other standards related to the preparation of audit reports for issuers.
Section 302 pertains to disclosure controls. The CEO and CFO, each period, must certify that the information presented is accurate and fairly represents the financial position of the company and operational results.
Section 404 deals with internal controls and procedures for financial reporting and managements assessment of these processes.
Back to: Sarbanes Oxley Act Summary Forward to: Sarbanes-Oxley Impact

Sarbanes Oxley Act Summary

2008-08-12T15:33:00.000-07:00

The Sarbanes-Oxley Act of 2002 was enacted in response to the publics' loss of faith in the governance of public companies. This Act affects the functions of executives and management of public companies including the Chief-Executive-Officer (CEO) and Chief-Financial-Officer (CFO).

The Act created the Public Company Accounting Oversight Board. This board has the authority to enforce auditing, quality control and ethical standards for public companies. The Securities and Exchange Commission (SEC) has adopted many of the provisions of the Sarbanes-Oxley Act for auditing and reporting financial information.

A primary goal of Sarbanes-Oxley is to increase investor confidence in public companies.

Each quarter, CEO's and CFO's are required to certify that financial disclosure controls and procedures are operating effectively.

Forward to: Key Provisions of Sarbanes-Oxley