The purpose of the Sarbanes-Oxley Act in the United States is to provide financial rewards for whistle-blowers.

Question

Quizplus · Accepted Answer

The purpose of the Sarbanes-Oxley Act is to protect investors by improving the accuracy and reliability of corporate disclosures and disclosures made pursuant to the securities laws. The act imposes several new obligations on publicly traded companies and accounting firms, and established the Public Company Accounting Oversight Board (PCAOB) to oversee the activities of accounting firms in providing audit services. While the act includes provisions that protect whistle-blowers from retaliation, its purpose is not to provide financial rewards for whistle-blowers.

The Purpose of the Sarbanes-Oxley Act in the United States