Supreme Court Strikes Down Key Part of Sarbanes-Oxley

[sabra]

Source: CNBC/Reuters

The Supreme Court on Monday struck down part of a 2002 law that created a national board that polices auditors of public companies, ruling that it violated the constitutional requirement on the separation of powers among the branches of government.

The high court's ruling on the Public Company Accounting Oversight Board (PCAOB) could put pressure on Congress to revisit the Sarbanes-Oxley corporate reform law, opening it up for potential changes in the reporting duties of companies.

The decision comes as the financial regulatory overhaul hammered out by House-Senate conferees faces an uncertain future with the death of Sen. Robert Byrd. Democrats now don't have the 60 votes needed to prevent Republicans from blocking the legislation.

"It does create a new dynamic," Sheila Bair, chairman of the Federal Deposit Insurance Coporation, said Monday in an interview with CNBC. "It was razor thin to begin with, so it does introduce a new unknown into the process."

Read more: http://www.cnbc.com/id/37974422

[harun]

1. I don't find it to be a key part at all. They only hit one small part of it

and the rest of it is completely upheld.

Correct me if you feel otherwise.

[Hosnon]

2. Not only that but my understanding is that SCOTUS did not enjoin the operation of the board. nt.

[LiberalFighter]

3. If Congress needs to revisit the Act and don't have the necessary 60 votes.

So what!! Force the Republicans and use it against them in November.

[GlennWRECK]

4. Separation of Powers is a MUST

It is the foundation that our modern country was built on.

[elleng]

5. 'Justices Uphold Sarbanes-Oxley Act.'

Dueling headlines!!!

'The first group established by Congress to regulate the accounting industry survived a constitutional challenge on Monday, emerging only with its members having a little less job security.'

http://www.nytimes.com/2010/06/29/business/29accounting.html?hpw