Wednesday, December 08, 2004
Sarbanes-Oxley Act met with resounding, 'What?'
When President Bush signed the Sarbanes-Oxley Act two years, he declared, "No boardroom in America is above or beyond the law."
The act quadrupled sentences for accounting fraud and created a corporate fraud felony charge that carries a 25-year prison term. "No more easy money for corporate criminals -- just hard time," Bush vowed.
Despite the attention the president brought to Sarbanes-Oxley, it seems the general public doesn't follow corporate fraud with quite the same zeal as, say, a bench-clearing brawl in the NBA.
About 88 percent of American workers and 76 percent of investors say they've never heard of Sarbanes-Oxley. Unless they happen to work in accounting and finance circles, Americans have largely ignored Sarbanes-Oxley, according to the survey by Hudson Financial Solutions.
A mere 7 percent of employees who own at least $5,000 in stocks, bonds and mutual funds said Sarbanes-Oxley has increased their confidence in the financial markets.
"Clearly, U.S. workers and individual investors are not well informed about the act or its intended benefits," said Dee Lonn, executive vice president of Hudson.
posted by Brian Moran @ 1:26 PM