Although ultimately a responsibility of all employees, certain employees including the CEO, CFO, Controller and accounting employees, are held to higher standards and must be familiar with, and adhere to, company accounting practices and financial laws and regulations.
Since Rogers is a US-based public company, we are required to submit various financial reports and other filings to our shareholders and US regulatory authorities. It is critical that these reports are accurate and timely, and you should act openly and honestly with individuals who prepare our financial statements, as well as with our external auditors.
The integrity of Rogers’ financial reporting is of the utmost importance. Accounting and financial reporting practices must be fair and proper, in accordance with generally accepted accounting principles and using management’s best judgments where necessary. Rogers prohibits practices that might lead to fraudulent financial reporting. While difficult to give an all-inclusive definition of fraudulent financial reporting, it is in general any intentional or reckless conduct, whether by act or omission, that results in materially misleading or incomplete financial statements. Clear, open and frequent communication among all management levels and personnel on all financial and operation matters will substantially reduce the risk of problems in the accounting and financial reporting areas, as well as help achieve operating goals.
2002: Due to massive corruption, thousands of employees lost their jobs, healthcare and 401(k) retirement savings when a well-known energy company went bankrupt due to financial dishonesty and deceit. This, along with other scandals, led to the creation of the Sarbanes-Oxley Act in the US, created to provide protections to shareholders and the public from fraud.