The series of corporate financial scandals that took place in the United States has led to the framing of new legislation called Sarbanes-Oxley Act that strengthens corporate governance and restores investor confidence and eliminates corporate corruption and fraud.
The law was intended to bolster public confidence in the nation’s capital markets and imposes new duties and significant penalties for non compliance on public companies and their executives, directors, auditors, attorneys and securities analysts.
Course Outline:
Overview of Sarbanes-Oxley Act
- Objectives
- Introduction
- Sarbanes-Oxley Act
- Sarbanes Oxley and Information Technology
- Definitions under Sarbanes-Oxley Act
- Auditor Independence
- Corporate Responsibility
- Enhanced Financial Disclosures
- White-Collar Crime Penalty Enhancements
- Corporate Fraud Accountability
Public Company Accounting Oversight Board
- Objectives
- Introduction
- Establishment of Public Company Accounting Oversight Board
- Powers of the Board
- Commission oversight of the Board
- Accounting Standards
Auditor Independence
- Objectives
- Introduction
- Auditor Independence
- Preapproval Requirements by the Audit Committee
- Reports to Audit Committee
- Conflicts of Interest
Corporate Responsibility
- Objectives
- Introduction
- Public Company Audit Committees
- Corporate Responsibility for Financial Reports
- Implications of Sarbanes Oxley Act on the Information Technology
- Forfeiture of Certain Bonuses and Profits
- Insider Trades During Pension Fund Blackout Periods
- Rules of Professional Responsibility for Attorneys
Enhanced Financial Disclosures
- Objectives
- Introduction
- Disclosures in Periodic Reports
- Disclosures of Transactions Involving Management and Principal Stockholders
- Management Assessment of Internal Controls
- Code of Ethics for Senior Financial Officers
- Enhanced Review of Periodic Disclosures by Issuers
Analyst Conflicts of Interest
- Objectives
- Introduction
- Treatment of Securities Analysts by Registered securities Associations
- Disclosure
Commission Resources and Authority
- Objectives
- Introduction
- Authorization of Appropriations
- Appearance and Practice Before the Commission
- Federal Court Authority to Impose Penny Stock Bars
Studies and Reports
- Objectives
- Introduction
- GAO Study and Report Regarding Consolidation of Public Accounting Firms
- Study and Report by Commission Regarding Credit Rating Agencies
- Study of Investment Banks
Corporate and Criminal Fraud Accountability
- Objectives
- Introduction
- Destruction, alteration, or falsification of records in Federal investigations and bankruptcy
- Destruction of corporate audit records
- Review of Federal Sentencing Guidelines for Obstruction of justice and extensive criminal fraud
- Protection for Employees of Publicly Traded Companies Providing Evidence of Fraud
- White-Collar Crime Penalty Enhancements
Corporate and Criminal Fraud Accountability
- Objectives
- Introduction
- Attempts and Conspiracies to Commit Criminal Fraud Offenses
- Penalties for Mail and Wire Fraud
- Penalties for Employee Retirement Income Security Act of 1974 Violations
- Corporate Responsibility for Financial Reports
Corporate Tax Returns
- Objectives
- Introduction
- Sense of Senate Regarding signing of Corporate Tax Returns by Chief Executive Officers
Corporate Fraud and Accountability
- Objectives
- Introduction
- Tampering a Record or Impeding an Official Proceeding
- Prohibition of Persons from Serving as Officers and Directors
