From: Darrell B. Lee |
I am writing in response to the proposed relief for complying with Section 404 of the Sarbanes-Oxley Act of 2002 for microcap companies. I believe that the 2007 date to comply is not allowing small companies such as ours enough time to document, test, remediate and retest our control systems. Like many other small companies, we spent significant amounts of money in 2005 on consultants and additional internal personnel, to begin the process of documenting and designing our control systems. When the Small Business Committee came out with their preliminary recommendation that microcap companies would be exempt from 404 requirements, we halted the process mentioned above until we received the final ruling from the SEC. I believe this was the prudent thing to do, based on saving the company money that could be spent more effectively, and based on the fact that we believed the Committee reccomendation was based on sound business acumen. Sincerely, Darrell B. Lee Darrell B. Lee, CPA |