Monday, April 24, 2006

And you thought Sarbanes Oxley was bad

John McCormick raises a spectre more suited to Halloween than spring: the possibility that CIOs in public companies could be required by the US government to certify that the information they supply to governemnt agencies is correct. As the article points out, given that much of the information stored in corporate systems is wrong or incomplete (the article quotes a Gartner guesstimate of 25% being in this category) this could result in a few worry lines on CIO foreheads.

I think that, at least for now, this is scaremongering. The US government is aware of the considerable backlash against Sarbanes Oxley from business, and indeed some minor softening may occur in due course. The notion that they would compound this massively by asking for certification of all data in a company, something that is manifestly impossible anyway, seems far fetched. Even if the governemnt were "selective" as the article suggests, then presumably areas of interest would tend to be things which are currently carefully regulated anyway e.g. FDA documents in the pharma industry, or information in defence companies. Even the current administration would hardly try to put in regulation that would allow government agencies to go on fishing trips through corporate data, and then demand certificatoin that what they found was right.

Or would they?

1 Comments:

Anonymous Anonymous said...

For information on the act, check out the Sarbanes Oxley Act webpage

http://www.sarbanesoxley-act.org

3:35 PM  

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