SOX Section 302: Corporate Responsibility for Financial Reports
This is one of the most important sections of SOX from a compliance standpoint. This section specifies that:
- The signing officer has reviewed the report
- To the best of the signing officer’s knowledge, there are no untrue statements of material facts or omissions of material facts, or other misleading statements or omissions.
- The financial statement and report fairly represent the financial condition of the company.
- The signing officers are responsible to establishing and maintaining effective internal controls.
- The officers must disclose to the auditors any fraud or significant deficiencies in internal controls.
- They must disclose if there have been any changes in internal controls subsequent to their report.