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Is Sarbanes-Oxley Reform On Its Way?

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Since the new Democratic chairman of the House Finance Committee, Barney Frank, has already given notice that he doesn’t expect any legislative reforms of Sarbanes-Oxley to come out of his committee, attention has turned to the SEC for possible regulatory reforms. Today the Wall Street Journal reports that regulators have said they will “propose guidance next month to help companies and auditors interpret Section 404 in a way likely to save the time and money.”
The Wall Street Journal is trumpeting this as a great victory for “business” but we’re not so sure. The “guidance” coming from the SEC could be the relief businesses feeling the strain of Sarbanes-Oxley compliance have been craving. Or it could be like handing a glass of rusty nails to a thirsty man. One things seems clear, the SEC isn't preparing any substantive amendments to the SOX rules. GodThe Devil only knows what the lawyers and accountants will do with the so-called "guidance." (Most likely take it as an opportunity to "guide" hourlies even higher.)
Business Wins Its Battle to Ease A Costly Sarbanes-Oxley Rule