The Sarbanese Oxley Act 2002
The Bursa Malaysia
The Bursa Malaysia which was formerly known as Kuala Lumpur Stock Exchange. The Bursa Malaysia is an exchange holding company which was agreed under Section 15 of the Capital Markets and Services Act 2007. The company runs a fully combined exchange, proposing the complete series of exchange-related services. This includes trading, clearance, settlement and repository services. There are many public listed companies in the Bursa Malaysia but most of these companies are consider going private for several reasons that the SOX act has affect their companies (An Analysis of Why Public Listed Companies Go Private in Malaysia, Lau Chee Chin, 1998).
The History of the Sarbanes Oxley Act of 2002 The Sarbanes Oxley Act (SOX) of 2002, also known as the Public Accounting Reform and Investor Protection Act was introduced by Senator Paul Sarbanes and Representative Michael Oxley. The act was passed on July 2002 in reply to several reasons. The Sarbanes Oxley Act was created to form new values of corporate responsibilities and forfeits for acts of misconducting. The Sarbanes Oxley Act specifies new financial responsibilities, which includes ensuring the strength of the financial accounts. Misleading the activity of business by jacking up their stock prices which affected the market value was one of the reasons to why Sarbanes Oxley Act was created. One of the most shocking companies that collapsed was Enron. Before it was bankrupt in 2001, Enron was one of the top companies in United Sates (US) that supplies pulp and paper, gas, electricity and communications. Since the deregulation of the oil and gas industry was form by the government of US, Enron took advantage of it. The company changed its profit and loss reports to the shareholders which encouraged the employees to invest in their stock. Other than that, Enron was using the money from their firm for their personal purposes while reporting fraudulent profit to their
The Bursa Malaysia which was formerly known as Kuala Lumpur Stock Exchange. The Bursa Malaysia is an exchange holding company which was agreed under Section 15 of the Capital Markets and Services Act 2007. The company runs a fully combined exchange, proposing the complete series of exchange-related services. This includes trading, clearance, settlement and repository services. There are many public listed companies in the Bursa Malaysia but most of these companies are consider going private for several reasons that the SOX act has affect their companies (An Analysis of Why Public Listed Companies Go Private in Malaysia, Lau Chee Chin, 1998).
The History of the Sarbanes Oxley Act of 2002 The Sarbanes Oxley Act (SOX) of 2002, also known as the Public Accounting Reform and Investor Protection Act was introduced by Senator Paul Sarbanes and Representative Michael Oxley. The act was passed on July 2002 in reply to several reasons. The Sarbanes Oxley Act was created to form new values of corporate responsibilities and forfeits for acts of misconducting. The Sarbanes Oxley Act specifies new financial responsibilities, which includes ensuring the strength of the financial accounts. Misleading the activity of business by jacking up their stock prices which affected the market value was one of the reasons to why Sarbanes Oxley Act was created. One of the most shocking companies that collapsed was Enron. Before it was bankrupt in 2001, Enron was one of the top companies in United Sates (US) that supplies pulp and paper, gas, electricity and communications. Since the deregulation of the oil and gas industry was form by the government of US, Enron took advantage of it. The company changed its profit and loss reports to the shareholders which encouraged the employees to invest in their stock. Other than that, Enron was using the money from their firm for their personal purposes while reporting fraudulent profit to their