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Tuesday, February 19, 2008

Overseas whistleblowers protected by Sarbanes-Oxley?

Overseas employees of US-listed companies that uncover fraud that took place in the US can be protected under the US corporate governance legislation, according to a ruling made in New York.

Judge Victor Marrero of the US District Court, found that Rosemary O’Mahoney, a Accenture employee based in Paris who claimed that the consultancy had carried out tax fraud, is entitled to protection under the Sarbanes-Oxley Act.

The judgement is at odds with previous cases at federal level, where courts have ruled that employees based outside the US are not entitled to protection as this would represent a unintended application of US law abroad.

Overseas whistleblowers protected by Sarbanes-Oxley?

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