Sarbanes - Oxley Analysis

Sarbanes - Oxley Analysis

To paraphrase Clarence Darrow, one of the things that is bad about history, is that it repeats itself. As such, one would think that the stock market crash of 1929, and the resultant laws that passed, such as the Securities Act of 1933, and the Securities Exchange Act of 1933, would have prevented the financial crises that have occurred in the new millennium.

A prudent person wouldn't think that lightning could strike in the same place twice. S/he could not envision that mere decades later, another round of similar legislation in the form of the Sarbanes-Oxley (SOX) Act of 2002, and the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 would be required. Yet, this has proven to be the case, and the nation collectively wonders, why?

Could it be that corporate leaders employ one set of ethics for their professional responsibilities, another for familial duties, and yet another for personal activities. This begs the question: Is it lack of legislation, or lack of ethics, that gets American business into trouble. Please click here to read more.