Understanding Restatements of Financial Statements

Foley Associate Michelle Gourley and Senior Counsel Jason Lavender authored an article that appeared in the July/August 2010 issue of The Corporate Governance Advisor titled “Understanding Restatements of Financial Statements.” The authors provide an overview of the legal issues that arise in the course of a restatement of financial statements by a public company. They state that failure to comply with the required procedures for producing financial statements will continue to have significant consequences at the company level and at the executive level, adding that compliance with Sarbanes-Oxley will remain at the forefront of the SEC’s enforcement efforts.