Let’s pretend for a second that Sarbanes-Oxley Act of 2002 (SOX) does not exist; auditing requirements for controls are absent and legislation surrounding disclosures is significantly reduced. Would companies voluntarily report controls information? If so, how detailed would that information … Continue reading
Category Archives: Disclosure Controls (SOX 302)
Predicting Material Weakness
Audit Analytics has released a white paper, Predicting Material Weakness, which discusses how certain company events and disclosures—such as late filings, auditor changes, or CEO / CFO departures—can be used to predict the probability that the company will also have … Continue reading
Consequences of Yahoo Data Breaches Continue
The implications of Yahoo’s (YHOO) data breaches continue to unravel. Last Wednesday, Yahoo filed its fiscal 2016 Annual Report, in which management made a number of significant disclosures related to the cyber security incidents. In particular, they discussed changes to their agreement to … Continue reading
Literature Review: “An Analysis and Taxonomy of Disclosure Controls and Procedures Effectiveness”
In a recent post, we discussed trends in Sarbanes-Oxley Act Section 302 Disclosure Controls and Procedures (“DC&P”, or “SOX 302”) filings, and highlighted some reasons why disclosure controls may be of interest to investors and stakeholders. In this post, we look at … Continue reading
SEC Comments on a BNY Mellon Capital Ratio Error
The recent turmoil surrounding Deutsche Bank, and speculations that one of the largest European banks may not survive without a bailout, yet again bring to light the importance of capital reserves that banks are required to hold. It should come … Continue reading
Ineffective Disclosure Controls, 2005-2015
Last month, we released a report looking at long-term trends in Internal Control over Financial Reporting (ICFR) SOX 404 disclosures. In this blog, we supplement that analysis with a look at the management-only assessments required by Section 302 of the Sarbanes-Oxley Act (SOX … Continue reading
Hain Delays Filing: What to Expect
Hain Celestial Group (NASDAQ: HAIN) announced on Monday, August 15 that it would delay the release of its fourth quarter and fiscal year 2016 financial results. The reason? The company was investigating certain revenue arrangements with distributors. During the fourth quarter, the … Continue reading