In order to enhance the quality of reporting and increase investor confidence, Section 404 of the Sarbanes-Oxley Act requires that annual reports filed with the SEC must be accompanied by a statement by company management that management is responsible for creating and maintaining adequate internal controls. Management must also present its assessment of the effectiveness […]
Hamilton James
Posted inInternal Controls
Audit Committees Have Role in Section 404 IC Regime
As nearly everyone knows by now, one of the most significant provisions of Sarbanes-Oxley is “Management Assessment Of Internal Controls,” known to most firms as “SOX 404.” Section 404 requires that annual reports be accompanied by a statement clarifying that company management is responsible for creating and maintaining adequate internal controls, and that management has […]
Posted inBoards & Shareholders
Audit Committee Financial Expert: An Overview
The Sarbanes-Oxley Act and SEC rulemaking have placed a duty on public companies to determine if their audit committees contain a financial expert and disclose this in their financial statements. If a company decides that its audit committee does not have at least one financial expert, the firm must tell investors the reasons why. Companies […]
Posted inBoards & Shareholders
QLCC An Attractive Alternative For Section 307 Compliance
Congress, in a bold and dramatic move, has placed the SEC for the first time into the uncharted waters of federal regulation of attorneys. Section 307 of the Sarbanes-Oxley Act, and the attendant SEC rules, firmly remind attorneys appearing and practicing before the SEC in the representation of a company that they owe their professional […]