Committee of Sponsoring Organizations
In response to the FCPA and its requirement to implement internal control programs, in 1985 a private-sector initiative was formed called the National Committee on Fraudulent Financial Reporting (commonly known as the Treadway Commission). This Commission recommended that its organizational sponsors work together to develop guidance on internal controls. Subsequently, the Committee of Sponsoring Organizations of the Treadway Commission (COSO) was formed, and in conjunction with the CPA firm Coopers & Lybrand, COSO authored and published in 1992 the “Internal Control-Integrated Framework" (http://www.coso.org/publications/executive_summary_integrated_framework.htm). This framework has become the de facto standard in the accounting industry for auditing, evaluating and monitoring internal control systems.
The COSO Internal Control-Integrated Framework is now widely used by most organizations as the basis for “establishing and maintaining an adequate internal control structure and procedures for financial reporting” ( 15 USC § 7262) and for the assessment of control effectiveness under section 404 of Sarbanes-Oxley. (http://www.pcaobus.org/About_the_PCAOB/Sarbanes_Oxley_Act_of_2002.pdf)
Read more about this topic: Compliance And Ethics Program
Famous quotes containing the words committee of and/or committee:
“What are men celebrating? They are all on a committee of arrangements, and hourly expect a speech from somebody. God is only the president of the day, and Webster is his orator.”
—Henry David Thoreau (1817–1862)
“In America every woman has her set of girl-friends; some are cousins, the rest are gained at school. These form a permanent committee who sit on each other’s affairs, who “come out” together, marry and divorce together, and who end as those groups of bustling, heartless well-informed club-women who govern society. Against them the Couple of Ehepaar is helpless and Man in their eyes but a biological interlude.”
—Cyril Connolly (1903–1974)