In the early 2000s, enterprise companies were infamous for publishing inaccurate, miscalculated, and scandalous financial documents to shareholders and the public. In response, United States Congressmen Paul Sarbanes and Michael Oxley drafted the Sarbanes-Oxley Act - often referred to as “SOX” for short.
The goal of SOX is to ensure corporate accountability of both the finance department which prepares records, and the IT department which stores and secures them. The act has three general principles which mandates:
Failure to comply with the SOX act can lead to serious government penalties and public scrutiny as well as shareholder distrust and financial downfall.
With global and national compliance regulations changing rapidly, storing documents digitally and securely is more important than ever.