Explore BrainMass

Conduct is illegal under Securities and Exchange Act

Let's look at corporate malfeasance at companies across the country. It seems as though there is an outbreak of corporate "bad ethics" which is translating into escalating costs for compliance and policing.

Along with the SEC and their policing and efforts at ending bad business practices which relate to the stock market, we also have the Sarbanes-Oxley Act, also known as SARBOX, or SOX, which is becoming a big buzzword in the business world. We will look at that here and in the other thread. As part of that discussion, start thinking about the different ways different officers of the company will look at and use or follow SOX (i.e. the CEO, CIO, and CFO).

Also, what type of conduct is illegal under the Securities and Exchange Act, and more specifically, Section 10(b) and Rule 10b-5?

Solution Preview

Sarbanes Oxley Act defined:

Various portions of SOX sections pertain differently to different areas of the organization. While the CEO would be interested in the company being in compliance ...

Solution Summary

The expert conducts the legal under securities and exchange acts.