Europe faces Enron legacy

On July 30, 2002, President Bush signed into law the Sarbanes-Oxley Act of 2002, which he characterized as "the most far reaching reforms of American business practices since the time of Franklin Delano Roosevelt." The Act mandated a number of reforms to enhance corporate responsibility, enhance financial disclosures and combat corporate and accounting fraud, and created the "Public Company Accounting Oversight Board," also known as the PCAOB, to oversee the activities of the auditing profession. European companies operating in the US also have to abide by the terms of this law.

• Primary Source

http://www.law.uc.edu/CCL/SOact/soact.pdf http://www.law.uc.edu/CCL/SOact/soact.pdf

http://www.sec.gov/spotlight/sarbanes-oxley.htm http://www.sec.gov/spotlight/sarbanes-oxley.htm

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