Public Company Accounting Reform and Investor Protection Act of 2002
- Public Company Accounting Reform and Investor Protection Act of 2002
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A US statute which became law on 30 July 2002. The Act makes substantial changes to the regulation of the accounting profession and includes significant corporate governance and disclosure reforms. It extends to non-US companies with US Securities Exchange Act and/or Securities Act registrations and to the non-US auditors of these companies.
For further information, see the SEC website: .
USA
Also known as the Public Company Accounting Reform and Investor Protection Act of 2002.
A statute enacted on July 30, 2002 in response to a number of major corporate and accounting scandals, including those affecting Enron, Tyco International, Adelphia, Peregrine Systems and WorldCom, which cost investors billions of dollars when the share prices of the affected companies collapsed and shook public confidence in the nation's securities markets. Sarbanes-Oxley made a number of significant changes to federal regulation of public company corporate governance and reporting obligations. The Act establishes new or enhanced standards for all US public company boards, management, and public accounting firms, but does not apply to privately held companies.
Practical Law Dictionary. Glossary of UK, US and international legal terms.
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2010.
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