Wednesday, July 26, 2006
Time running out for Sarbanes-Oxley compliance
Like it or not, the clock is ticking for non-US companies that need to be compliant to one of the most talked-about elements of the Sarbanes-Oxley (SOX) Act established in 2002.
With the passing of the critical 15 July milestone for foreign companies listed in the US to be compliant to Section 404 under SOX, they now have anything from a few weeks to nearly a year to meet the regulations or face the consequences. Under Section 404, publicly traded companies must have internal policies and controls in place to protect, document and process information for financial reporting.
The law requires affected businesses to comply by the end of their respective financial year after 15 July, 2006. The date is an extension of the original deadline of 15 July, 2005, set by the US Securities and Exchange Commission (SEC). Public US companies were required to be compliant in November 2004.
posted by Brian Moran @ 10:34 AM