SARBANES-OXLEY ACT OF 2002
Following a string of wrongdoing by corporate executives in 2000 to 2002, and the subsequent failures of their firms, Washington lawmakers proposed more than 50 policies to reassure investors. None of the resulting bills were able to pass both houses of Congress until the Banking Committee Chairman Paul Sarbanes (D-MD) proposed legislation to establish new auditing and accounting standards. The bill was called the Public Company Accounting Reform and Investor Protection Act of 2002. Later the name was changed to the Sarbanes-Oxley Act of 2002. On july30,2002,President George Bush signed the Sarbanes-Oxley Act into law.
Sarbanes-Oxley Act of 2002: Law that revised and strengthened auditing and accounting standards.
Category: Management & Organization Studies
Next: Social Audit →
More from this Section
- Transformational leader
Transformational leader- who stimulates and inspires (transforms) followers to achieve ... - Quality
Quality as the ability of a product or service to reliably do what it’s supposed to ... - Organizational behavior
The field of study that researches the actions (behavior) of people at work is called ... - Planning
Planning is a function of management that involves defining goals, establishing strategies ... - Joint venture
A specific type of strategic alliance in which the partners form a separate, independent ...