After the controversial scandals pertaining to organizations such as Enron, WorldCom, and Tyco, the Sarbanes-Oxley Act developed into a law and procedure on July 30, 2002. The main aspects of the Sarbanes-Oxley Act policies and regulations were designed to prevent and deter future accounting fraud, protection for shareholders and maximizing assurance in public company financial reporting in diverse U.S. capital markets. Altogether the Sarbanes-Oxley Act of 2002 has imposed tremendous new duties and cost on public companies and accounting firm, while the people involved are still unaware about whether the money, time and focus on the Sarbanes-Oxley Act of 2002 are worth the benefits that were sacrificed. It would be difficult to eliminate fraud within organizations just by policies and procedure, so owners of organizations will have to encourage SOX by expressing it to the workers, and owners themselves will have to be discipline enough to gain trust of workers and ensure that they have a secure and legit organization. .
There are many owners of organizations in the United States of America that are still not too sure about the Sarbanes-Oxley Act of 2002, and believes that it was hopeless failure that could not stop fraud within organizations. Steve Barth is the Co Chairman for an organization called Foley & Lardner's national transactional and securities practice. Steve Barth mentioned that the Sarbanes-Oxley Act of 2002 was a complete failure that would not eliminate nor deter employee fraud, and believed it to be a waste of time, effort, and money. Many owners agree with Barth that by SOX being intended to generate further confidence in the U.S. market capitals, it still hasn't completely prohibited fraud and abuse from happening. There has not really been any substantial evidence presenting that the stock market has become further dependable over the past 10 years since the Sarbanes-Oxley Act of 2002.
