New Securities and Exchange Commission Chair Mary Schapiro is wasting no time distancing herself from former chairman Christopher Cox. Under Cox, the SEC repeatedly delayed Sarbanes-Oxley 404 compliance for small businesses. However, WebCPA reported Tuesday that Schapiro is ready to have all public companies on the same page when it comes to 404 compliance, regardless of size.
In a letter to Sen. Carl Levin, D-Mich., responding to questions that were part of her confirmation process, she wrote:
Right now, we have a system where some issuers are complying with 404 and others are still exempt from it. It's time that we bring uniformity to the system so that investors know what to expect from companies, while being sensitive to the needs of small businesses.
It sounds like SMBs might need to get their ducks in a row. I don't think Schapiro will be extending that exemption again any time soon.