Network News

X My Profile
View More Activity
2.7%  Q1 GDP    4.57%  avg. 30-year mortgage     9.5%  Unemployment

Key test for Sarbanes-Oxley before Supreme Court today

The Supreme Court today is hearing arguments in an opaque-sounding case called Free Enterprise Fund v. PCAOB that could end up having wide-ranging impact on Washington oversight of publicly traded corporations.

Without getting too far into the weeds, this case comes down to the Sarbanes-Oxley Act of 2002, which was rushed into law following the Enron and WorldCom scandals of the early part of this century. It enhanced or created new rules for U.S. corporations that include standards for the independence of corporate auditors, requiring chief executives to take personal responsibility for the efficacy of earnings reports and so on.

Proponents of the act said it was critical to restore investor confidence in the markets and companies. Opponents said it created another level of costly bureaucracy on companies in the U.S., setting them behind foreign rivals.

At issue today in the Supreme Court is the PCAOB, created by Sarbanes-Oxley, or SarbOx, or even SOX, as it's sometimes referred to.

The PCAOB is the Public Company Accounting Oversight Board, and it regulates auditors of publicly traded companies.

On the other side is the Free Enterprise Fund, an anti-tax group backed by economist Stephen Moore, a member of the Wall Street Journal's editorial board.

The Fund's case against the PCAOB: The Constitution requires that the members of the group be appointed by the president, not the SEC, as is the current case.

If the court sides with the Fund, it could lay the groundwork for dismantling SarbOx, which is what many business leaders have been cheering for -- and consumer investment advocates have been fearing -- for years.

-- Frank Ahrens
Sign up to get The Ticker on Twitter

By Frank Ahrens  |  December 7, 2009; 12:44 PM ET
Categories:  The Ticker  | Tags: Free Enterprise Fund, SarbOx, Sarbanes-Oxley, Stephen Moore  
Save & Share:  Send E-mail   Facebook   Twitter   Digg   Yahoo Buzz   Del.icio.us   StumbleUpon   Technorati   Google Buzz   Previous: Black teen unemployment rises to nearly 50 percent
Next: Consumer credit drops, but far less than expected

Comments

As one grows older one dwells on the good old days.

Can you still remember the good old days of 2000 when we knew that the future of the 21st century was the jobs in computer technology and the jobs made possible by computer technology?

America led the world in computer technology in 2000. There were hundred of thousands of American jobs in computer technology. There were millions of American jobs based upon the use of computer technology. Americans sat in offices doing work using computers and telephones. Multiple book cases in Barnes and Noble and Borders were filled with computer books, since all Americans knew that jobs in computer technology were the future. American students in the thousands flocked to enroll in courses in computer technology, and when they graduated had well paying jobs.

Those were the good old days.

Now in 2009 there are very few jobs in computer technology or using computers in an office. The computer books in Barnes and Noble and Borders are few. The students enrolled in computer technology courses are few, since all Americans know that there will be no jobs for Americans as the jobs will be outsourced overseas.

America now has to abandon the jobs in computer technology and the jobs made possible by computer technology, since these jobs are not the jobs of the 21st century for Americans.

The jobs in computer technology and the jobs made possible by computer technology are now the jobs of the 21st century for other nations.

Americans have to accept that the American jobs are now the non-exportable jobs in green energy such as installing insulation and solar panels, and screwing in florescent light bulbs. Americans have to accept that the American jobs are now the non-exportable jobs in rebuilding the infrastructure of America and laying down cable for broadband.

Wow one grows old and one grows so nostalgic for the good old days.

Posted by: bsallamack | December 7, 2009 2:09 PM | Report abuse

"Americans have to accept that the American jobs are now the non-exportable jobs in green energy such as installing insulation and solar panels, and screwing in florescent light bulbs. Americans have to accept that the American jobs are now the non-exportable jobs in rebuilding the infrastructure of America and laying down cable for broadband."

One sometimes hears the word 'biotech' as the next 'saviour' of America. Well, it is a knowledge based endeavour just as computer technology and, as such, will be offshored as computer technology has. Any knowledge based endeavour can (and will) be shipped to the location with a cheaper, educated workforce.

To me, the salaries in America are too high relative to the rest of the world and must be readjusted to a new lower norm.


Only those jobs that cannot be performed remotely have a chance of remaining.

If only we could outsource lawyers, etc; maybe the healthcare premiums would drop because the liability industry could be paid for pennies on the dollar and the awards wouldn't be so extreme...--Sarcasm Alert!!

Posted by: dtr21502 | December 7, 2009 3:28 PM | Report abuse

"To me, the salaries in America are too high relative to the rest of the world and must be readjusted to a new lower norm."

You first.

Posted by: srpinpgh | December 7, 2009 3:46 PM | Report abuse

The comments to this entry are closed.

 
 
RSS Feed
Subscribe to The Post

© 2010 The Washington Post Company