Introduction
The Public Company Accounting Reform and Investor
Protection Act , commonly known as the Sarbanes-Oxley Act,
2002 (SOX) was passed by Congress on July 30, 2002 to
implement changes in federal securities regulation, corporate
governance, and the regulation of auditors. This far-reaching
legislation was in response to the flurry of accounting
scandals beginning, most notably, with the Enron/Andersen
debacle.

Application
Directly affected by Sarbanes – Oxley (SOX) are registered
public accounting firms, publicly traded companies and
companies that are in the process of registering securities
under the Securities Act of 1933. It has been suggested
that private companies planning to go public and private
companies that may be acquired by public companies
will directly affected by this legislation. As well, private
companies in states considering adopting parallel legislation
will eventually be subject to SOX.

Read the full whitepaper here.