Internal Controls

Sarbanes-Oxley is the buzz within all public companies today as they work towards complying with the new regulations. Even private companies are joining in as a recent survey noted that 58% of private companies are instituting changes to improve their accounting practices in response to the new act. Of particular note are the following sections: […]

The overhaul in corporate accountability sparked by the Sarbanes-Oxley Act of 2002 marks the most dramatic and far-reaching reform affecting financial reporting in almost 70 years. When it comes to complying with the new rules on certifications and the issuance of management’s report on internal controls, Section 404 can be seen as an opportunity to […]

For many companies, the mention of internal controls sets off a passionate discussion of the latest physical inventory or the recent establishment of an asset tracking system. While safeguarding the company’s assets is one element of internal controls, Section 404 of the Sarbanes-Oxley Act of 2002 has brought to the forefront a concept of internal […]

Senior executives have long sought ways to better control the enterprises they run and reduce risk. Effective IC promotes efficiency, reduces risk of asset loss, and helps ensure the reliability of financial statements and compliance with laws and regulations. IC enables management to effectively react to rapidly changing economic and competitive environments, and shifting customer […]

How do you get the undivided attention of a CFO? Sidle alongside and whisper the words “Sarbanes-Oxley” in his or her ear. No piece of legislation in recent memory has inspired consternation equal to that brought on by The Sarbanes-Oxley Act. This complex law and its associated regulations have executives, directors, and committee members scrambling […]

Even though standards or deadlines are not yet mandated, many companies are spending inordinate amounts of time — or should be — beefing up their internal controls. Much of this activity is at the prodding of the independent auditors, whose attestation fees are often estimated at a level at least as high as the current […]

Corporate records management is not about policies, procedures, retention schedules and inventory and email control software. It’s about enforcement that is consistent, systematic and defendable. With the rapid and very public evaporation of the venerable Arthur Andersen company, we have seen how a multi-billion dollar firm can be put out of business because of lapses […]

(a) RULES REQUIRED- The Commission shall prescribe rules requiring each annual report required by section 13 of the Securities Exchange Act of 1934 (15 U.S.C. 78m) to contain an internal control report, which shall– (1) state the responsibility of management for establishing and maintaining an adequate internal control structure and procedures for financial reporting; and […]