Corporate America needs Sarbanes-Oxley.(Editorial)

Investment News, October, 2006

Although regulators have forced big corporate-governance changes, many boards have proved unable to operate in the best interests of shareholders. In light of the recent controversy over stock option backdating, it is clear that to maintain transparency and to keep the microscope on big business.

Boards of directors are responsible for enforcing corporate governance, and they are failing that responsibility. Action needs to be taken. In the past few months, more than 100 companies have drawn scrutiny in federal probes of stock option backdating. McAfee Inc., of Santa Clara, Calif., and San Francisco-based CNET Networks Inc. are the latest companies to make news in regard to problems with stock options. On Wednesday, George Samenuk,...

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