Bolkestein lambasts Sarbanes-Oxley
The Sarbanes-Oxley Act became further tangled in controversy yesterday when the European commissioner in charge of financial services claimed it looked like 'over-reaction'.
Frits Bolkestein, the commissioner for single markets, struck out at the US corporate governance legislation while launching EU reforms yesterday.
‘Sarbanes-Oxley has been drafted in a rush and it shows. There is such a thing as over-reacting and overshooting the mark,’ he was reported in the Financial Times as saying.
The EU has masses of reforms for financials services but accountants and listed companies have been preoccupied with the demands of the US legislation because of its immediate cross-border effects.