...SEC's role in managing financial governance? Do you think that businesses are more ethical after the passing of the Sarbanes Oxley Act? What examples are there to support you answer? “The mission of the U.S. Securities and Exchange Commission is to protect investors, maintain fair, orderly and efficient markets and facilitate capital formation (Commission, 2013).” According to the web site, the SEC requires public companies to disclose meaningful financial and other information to the public. This allows investors to be educated and judge for themselves whether or not to purchase, sell or keep a particular security. The SEC also oversees participants in the securities world, including securities exchanges, securities brokers and dealers, investment advisors, and mutual funds. This helps them to maintain fair dealing and protect against fraud. It has an enforcement arm which brings civil enforcement actions against individuals and companies for the violation of the securities laws. This would include insider trading, accounting fraud, providing false or misleading information, etc. The Sarbanes Oxley Act augments the SEC by mandating reform to “enhance corporate responsibility, enhance financial disclosures and combat corporate and accounting fraud (Commission, 2013),” and it created the Public Company Accounting Oversight Board to oversee the activities of the auditing profession. Judging by the continued sanctions being brought against companies, it does not seem...
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...SEC's role in managing financial governance? Do you think that businesses are more ethical after the passing of the Sarbanes Oxley Act? What examples are there to support you answer? “The mission of the U.S. Securities and Exchange Commission is to protect investors, maintain fair, orderly and efficient markets and facilitate capital formation (Commission, 2013).” According to the web site, the SEC requires public companies to disclose meaningful financial and other information to the public. This allows investors to be educated and judge for themselves whether or not to purchase, sell or keep a particular security. The SEC also oversees participants in the securities world, including securities exchanges, securities brokers and dealers, investment advisors, and mutual funds. This helps them to maintain fair dealing and protect against fraud. It has an enforcement arm which brings civil enforcement actions against individuals and companies for the violation of the securities laws. This would include insider trading, accounting fraud, providing false or misleading information, etc. The Sarbanes Oxley Act augments the SEC by mandating reform to “enhance corporate responsibility, enhance financial disclosures and combat corporate and accounting fraud (Commission, 2013),” and it created the Public Company Accounting Oversight Board to oversee the activities of the auditing profession. Judging by the continued sanctions being brought against companies, it does not seem...
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...Assignment: U.S securities & Exchange commission 1. Define the U.S. securities and Exchange’s mission/ Purpose. I believe that the purpose of the U.S. securities and exchange’s mission is to make people feel more comfortable and safe when investing as well as keep everything (market and exchange wise) organized. I think that having something like this helps people feel better about investing. On the U.S securities and exchange site they state that “The mission of the U.S. Securities and Exchange Commission is to protect investors, maintain fair, orderly, and efficient markets, and facilitate capital formation.” ("The Investor's Advocate: How the SEC Protects Investors, Maintains Market Integrity, and Facilitates Capital Formation." SEC.gov. Web. 5 Oct. 2015.) 2. Give a detailed description of the SEC’s : A. History- Before the U.S securities and exchange act there was a law called the blue sky laws. This law was similar to the SEC but less effective. It was meant to enforce security and protect the people from fraud but unlike SEC some parts of this law varied from state to state. I am assuming that because of its ineffectiveness the law was modified and became Securities exchange act in 1934. Some existing organizations under SEC are the New York stock exchange, Municipal securities rulemaking board, NASDAQ stock market, etc.; President Roosevelt appointed John F. Kennedy’s father, Joseph P. Kennedy Sr., as the first chairman of SEC. B. Responsibilities-...
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...History and Evolution of the Securities and Exchange Commission The Securities and Exchange Commission was created at the conclusion of the Senate Banking and Currency Committee’s 1932–1934 investigation of stock exchange practices, usually called the Pecora Hearings, in recognition of the decisive role played by the committee’s counsel, Ferdinand Pecora.(Macey, 2010) Between September 1, 1929, and July 1, 1932, the value of all stocks listed on the New York Stock Exchange shrank from a total of nearly $90 billion to just under $16 billion, a loss of over 80 percent.(Macey, 2010) In a comparable period, bonds listed on the New York Stock Exchange declined from a value of $49 billion to $31 billion.(Macey, 2010) These figures, staggering as they were, fully gauge the extent of the 1929–1932 stock market crash.(Wiesen, 1979) During the post-World War I decade, approximately $50 billion of new securities were sold in the United States approximately half, or $25 billion, would prove near or totally worthless.(Wiesen, 1979) Leading securities, including General Electric, Sears, Roebuck, and U.S. Steel common stock, would lose over 90 percent of their value between selected dates in 1929 and 1932.(Zimmer, 2009) Formally, the purpose of Pecora’s stock exchange hearings was to determine why these staggering decreases in security values had occurred and to propose legislation to prevent another stock market crash. (Wiesen, 1979) The Pecora hearings also had an obvious...
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...________________________________________________________________________________________________ UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 ____________________ FORM 8-K ____________________ CURRENT REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Date of Report (Date of earliest event reported): October 1, 2013 ____________________ AVAYA INC. (Exact Name of Registrant as Specified in its Charter) ____________________ Delaware (State or Other Jurisdiction of Incorporation) 001-15951 (Commission File Number) 22-3713430 (IRS Employer Identification Number) 4655 Great America Parkway Santa Clara, California (Address of Principal Executive Office) Registrant’s telephone number, including area code: (908) 953-6000 N/A (Former Name or Former Address, if Changed Since Last Report) 95054 (Zip Code) ____________________ Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions: o o o o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) ________________________________________________________________________________________________...
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...The Securities and Exchange Commission The U.S. Securities and Exchange Commission (SEC) is a federal agency that provides protection for investors and regulates the bulk of the securities industry including: U.S. stock exchanges, options markets, and other electronic exchanges and securities markets. The Securities Exchange Act of 1934 created the laws that regulated it. The Securities Exchange Act of 1934 is a law governing the secondary trading of securities in the U.S. The commission's division of enforcement investigates possible violations of federal securities related laws and can take civil action with other law enforcement agencies when it comes to criminal cases. The market crash of 1929 and subsequent Great Depression took a toll on the public's trust in capital markets. Investors looking to go from rags to riches turned to the stock market during the roaring 20s. According to the SEC, an estimated $50 billion in new securities were offered, and half became worthless. Congress passed the Securities Act of 1933 and The Securities Exchange Act of 1934 (which created the SEC) in an effort to restore confidence in the markets. Publicly traded companies were now obligated to disclose investment risks and provide full information about the state of their business. Brokers, dealers and exchanges were now legally required to put the interests of the investors first and treat them in a fair and honest manner. Congress established the SEC to enforce these laws for the sake...
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...Securities and Exchange Commission Bangladesh CHAIRMAN’S STATEMENT The Securities and Exchange Commission (SEC) was established on June 8, 1993 under the Securities and Exchange Commission Act 1993 (Act 15 of 1993) as a capital market regulator with a view to ensuring proper issuance of securities, protection of the interest of investors in securities, development of the capital and securities markets, and regulation of the capital and securities markets in Bangladesh. The Commission consists of a chairman and four full time members who are employed by the government for a period of three years renewable for another similar term. The services of the chairman and members of the Commission are also determined by the government. The Chairman is the chief executive officer of the Commission. The country’s capital market witnessed a remarkable turn-around during the fiscal year 2008-2009. There were unmistakable signs of the resurgence of investor’s confidence which suffered a major jolt in the wake of the catastrophic crash of the stock market in 1996. Dhaka Stock Exchange’s (DSE) general index which was introduced on 27th November 2001 with a base of 818 points hardly moved in the following two years with the index increasing by merely five points to reach 823 on 30th June 2003. A significantly higher level was attained during the following year with the index rising to 1319 as of 30 June 2004. Parallely, Chittagong Stock Exchange’s index rose from 1841 as of 30th June 2003 to...
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...UNITED STATES DISTRICT COURT FOR THE SOUTHERN DISTRICT OF NEW YORK ___________________________________________ ) SECURITIES AND EXCHANGE COMMISSION, ) 450 Fifth Street, N.W. ) Washington, D.C. 20539 ) ) Plaintiff, ) ) v. ) ) WORLDCOM, INC., ) ) Defendant. ) ___________________________________________) Civil Action No. COMPLAINT (Securities Fraud) The Securities and Exchange Commission (“the Commission”) alleges for its Complaint as follows: 1. From at least the first quarter of 2001 through the first quarter of 2002, defendant WorldCom Inc. (“WorldCom”) defrauded investors. In a scheme directed and approved by its senior management, WorldCom disguised its true operating performance by using undisclosed and improper accounting that materially overstated its income before income taxes and minority interests by approximately $3.055 billion in 2001 and $797 million during the first quarter of 2002. 2. By improperly transferring certain costs to its capital accounts, WorldCom falsely portrayed itself as a profitable business during 2001 and the first quarter of 2002. WorldCom’s transfer of its costs to its capital accounts violated the established standards of generally accepted accounting principles (“GAAP”). WorldCom’s improper transfer of certain costs to its capital accounts was not disclosed to investors in a timely fashion, and misled investors about WorldCom’s reported earnings. This improper accounting action was intended to manipulate WorldCom’s earnings in the year ending...
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...provision of section 27 of Securities and Exchange Ordinance, 1969 (Ordinance No. XVII of 1969), the Securities and Exchange Commission has constituted an Advisory Committee with the following persons until further orders: Chairman, Securities and Exchange Commission. All Members of Securities and Exchange Commission. One representative of Bank and Financial Institution Division, Ministry of Finance. One Deputy Governor of Bangladesh Bank to be nominated by Bangladesh Bank President, Federation of Bangladesh Chambers of Commerce and Industries. President, Institute of Chartered Accountants of Bangladesh. President, Bangladesh Association of Publicly Listed Companies. President, Institute of Cost and Management Accountants of Bangladesh. President, Dhaka Stock Exchange. President, Chittagong Stock Exchange. Chairman, Central Depository Bangladesh Ltd. Dr. Mustafizur Rahman, Centre for Policy Dialogue. Managing Director, Investment Corporation of Bangladesh. President, Bangladesh Association of Banks. President, Bangladesh Insurance Association. Dr. Zaidi Sattar, Chairman, Policy Research Institute. Mr. Moazzem Hossain, Editor, The Financial Express. Terms of Reference i. To propose appropriate policy options for developing the capital market of the country; ii. To advise on policies and programs to protect the interest of investors in securities; iii...
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...helps scholars, researchers, and students discover, use, and build upon a wide range of content in a trusted digital archive. We use information technology and tools to increase productivity and facilitate new forms of scholarship. For more information about JSTOR, please contact support@jstor.org. . Wiley, Association for Public Policy Analysis and Management, John Wiley & Sons are collaborating with JSTOR to digitize, preserve and extend access to Journal of Policy Analysis and Management. http://www.jstor.org This content downloaded from 129.22.124.137 on Wed, 2 Oct 2013 10:25:50 AM All use subject to JSTOR Terms and Conditions WithConsent the of Governed: SEC'sFORMATIVE YEARS Thomas K. McCraw The Securities and Exchange Commission, established in 1934, has achieved a uniquely high reputationfor effectiveregulation. TheSEC succeededin largemeasurebecause of the initial strategy developedby its founders.Led by Joseph P. Kennedy,James M. Landis, and William0. Douglas, the SEC sought to restorepublic Abstract confidence in the capital marketsand induce regulatedintereststo help enforcepublic policy. These interestsincludedthe accounting and profession,the organizedsecuritiesexchanges,and the brokers dealersoperatingin the over-the-counter market.In each...
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...be overstated by $5 million (Knapp, M., 2009). The company’s auditors Deloitte, Barry, and Baker included the false information in JFF’s 1998 financial reports. These false reports were prepared for public filing with the Securities and Exchange Commission, which resulted in shareholders of JFF to be defrauded. Ruttenberg, Deloitte, Barry, and Baker were brought to justice, and the company’s shareholders settled for $32.4 million in a class-action lawsuit (Knapp, M., 2009). Just for Feet Based in Birmingham, Alabama, Just for Feet (JFF) was established in 1977 and became a publicly traded company in 1994. Despite a period of slow growth in the retail industry, JFF expanded rapidly from 1994 to 1999. By 1998, the company’s exceptional revenue growth deemed it as the top-selling retailer of athletic shoes and apparel in the United States. In JFF’s 1998 financial statements, the company reported $689.4 million in assets, $774.9 million in revenue, and $26.6 million in net income (Securities and Exchange Commission v. Deloitte & Touche, LLP, 2005). However, shortly after presenting this positive financial growth, JFF filed for protection under Chapter 11 bankruptcy in November, 1999. According to the Securities and Exchange Commission v. Deloitte & Touche, LLP (2005), “Just for Feet’s bankruptcy case was converted to a...
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...Financial Statements ACC/280 July 23, 2011 Cary Schulz, Facilitator Financial Statements Accounting is a critical aspect of any organization; without accounting a business will not be successful. This paper will inform one of the purposes of accounting; the four basic financial statements; how the basic financial statements are interrelated; and why they are useful for managers, investors, creditors, and employees. Accounting is crucial for every business. Purpose of Accounting Accounting is the information system that records, identifies, and communicates an organization’s economic events to interested users (Weygandt, Kimmel, & Kieso, 2008). The definition of financial accounting is the field of accounting that treats money as a means of measuring an organization’s economic performance as opposed to a factor of production. This is comparable to cost accounting (Walden University, 2011). Financial accounting involves the entire system of controlling and monitoring money as it comes in and out of the organization as liabilities and assets; as well as revenues and expenses (Walden University, 2011). Financial accounting pulls together and summarizes the financial data to produce financial reports, such as a balance sheet and income statement for an organization’s investors, lenders, management, tax authorities, suppliers, and other stakeholders (Walden University, 2011). Financial accounting provides financial and economic data for creditors, investors, and...
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...Securities, Commodities, and Financial Services Sales Agents Significant Points • Most positions require a bachelor’s degree in busi- • Applicants face keen competition for jobs, especially • Turnover is high for newcomers, but those who are successful have a very strong attachment to their occupation because of high earnings and considerable investment in training. in investment banks. ness, finance, accounting, or economics; a master’s degree in business or professional certification is helpful for advancement. Nature of the Work Each day, hundreds of billions of dollars change hands on the major United States securities exchanges. This money is used to invest in securities, such as stocks, bonds, or mutual funds, which are bought and sold by large institutional investors, mutual funds, pension plans, and the general public. Most securities trades are arranged through securities, commodities, and financial services sales agents, whether they are between individuals with a few hundred dollars or large institutions with hundreds of millions of dollars. The duties of sales agents vary greatly depending on their specialty. The most common type of securities sales agent is called a broker or stock broker. Stock brokers advise everyday people, or retail investors, on appropriate investments based on their needs and financial ability. Once the client and broker agree on the best investment, the broker electronically...
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...25th July, 2014 Non Resident Bangladeshi subscription opens on: 20th July, 2014 Non Resident Bangladeshi subscription closes on: 29th July, 2014 Issue manager IDLC Finance Limited Bay’s Galleria (1st Floor), 57 Gulshan Avenue, Gulshan 1 Dhaka-1216 Underwriters IDLC Finance Limited Bay’s Galleria (1st Floor), 57 Gulshan Avenue, Gulshan 1 Dhaka-1216 LankaBangla Securities Limitted A.A. Bhaban (Level-5), 23 Motijheel C/A Dhaka- 1000 The City Bank Limited Jiban Bima Tower, 10, Dilkusha C/A Dhaka- 1000 Green Delta Insurance Co. Ltd. Hadi Mansion (4th Floor), 2, Dilkusha C/A Dhaka- 1000 Bankers to the issue HSBC Bank Asia Limited The City Bank Limited Citibank, N.A. BRAC Bank Limited Eastern Bank Limited IFIC Bank Limited EXIM Bank Limited National Bank Limited Date of BSEC consent: 8th June, 2014 Date of issue of prospectus: 10th June, 2014 “ Consent of the Bangladesh Securities and Exchange Commission has been obtained to the issue/ offer of these securities under the securities and exchange ordinance, 1969, and the Bangladesh Securities...
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...Sebastian S. Kresge. The company went public on the New York Stock Exchange in 1925 under the symbol KM, and during the 70’s the company officially changed its name to Kmart, standing for quality products and low price. On January 22, 2002, Kmart filed a voluntary petition for reorganization relief under Chapter 11 of the Bankruptcy code. The company's common stock is registered with the Commission pursuant to 12(b) of the Exchange Act [15 U.S.C. § 78l (b)] and traded on the New York Stock Exchange until December 19, 2002, when it was delisted. Kmart fiscal year ends the last Wednesday in January. Before filing for bankruptcy, Kmart operated approximately 2,100 stores throughout the United States and employed approximately 250,000 workers. Kmart's annual sales averaged $37 billion, and the company was the nation's second largest discount retailer and third largest general merchandise retailer. Its direct competitors were Wal-Mart and Target. This research paper will illustrate an accounting fraud committed by Kmart when improperly recognized as revenue a $42.3 million payment from American Greetings Corporation. Kmart negotiated a multi-year contract (5 years) for exclusivity rights and company’s policies and accounting procedures required that the $42.3 million be recognized over the term of the agreement. The litigation release No.18000, dated on February 26, 2003, states that the Securities and Exchange Commission (the SEC) filed a civil action against two former Officers of Kmart...
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