The US Senate has
foiled an attempt by the Republicans to weaken Sarbanes-Oxley by removing the
mandatory requirement for certain companies to comply with the law’s internal
controls requirements.
According to Reuters , the Senate set aside an amendment to
make compliance with Section 404 optional for companies valued at less than
$400m (£200.6m).
The amendment was put forward by Republican
Jim
DeMint , who tried to attach it to a bill on the Senate floor on
boosting investment in research, and improving science, engineering and maths
education.
Federal regulators are working on reforming Section 404, which has been
criticised as been too onerous and a hindrance to business.
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