Sarbanes Oxley Of 2002 Essay

Internal controlling is a significant component for ensuring that operations are efficient in any organization. These controls help to set an ethical standard for all levels of the organization to follow while providing discipline and structure. Controls are put in place by a company to protect assets and equity, increase efficiencies, enhance the accuracy and reliability of accounting records. These audit points ensure that organizations follow compliance with laws and regulations. Sarbanes Oxley of 2002 (SOX) was created as a response to several scandals in various companies; relating to accounting principles and practices. The purpose of SOX was to restore the confidence of investors and shareholders of publicly traded companies. SOX

Starr also focused his attention on Latin America, which surprised everyone. He also took his operation to Havana, Cuba in the late 1930s. The AAU grew in Latin America, providing a significant offset as it declined in Asia due to the impending World War II. Headquarters then moved from Shanghai to New York in 1939 after the Communists came to power.

The company expanded to Germany and Japan after World War II to provide insurance for military personnel. He continued to expand into Italy, France and the United Kingdom over the next 2 decades. In 1952, Starr focused on the American market by the Globe & Rutgers Fire Insurance Company and its subsidiary, American Home Fire Assurance Company. By the end of the decade, AIU had extensive network of agents and offices in over 75 countries (Themes, n.d.). The British headquarters offices in London, continental Europe operations are based in Paris, and the Asian headquarters office is in Hong

Greenberg to develop an international accident and health business. Years later, Greenberg reorganized one of Starr’s US holdings into a successful multiple line carrier. He then focused on selling insurance through independent brokers rather than agents to eliminate agent salaries. Going this route, AIU could price insurance based on possible return even if it suffered decreased sales in certain products for great lengths of time with very little extra expense (Stocks, n.d.). By 1967 the American International Group (AIG) became the new name, and was incorporated as a unifying umbrella organization for most of Starr’s general and life insurance business. Starr then named Greenberg as his successor. In 1969 AIG became a public company. Challenges began to arise in the 1970s, in the Middle East and Southeast Asia due to the changing political landscape. They were curtailed or ceased altogether. But AIG kept pushing and expanded its market by introducing specialized energy, transportation, and shipping products to serve the needs of niche industries. With a growing workforce and a worldwide network of offices, by 1979, AIG offered clients superior technical and risk management skills in an increasingly competitive