Sarbox battle erupts over retailer

We've been debating the costs vs. benefits of Sarbox for a while now. Has the conventional wisdom shifted at all? Despite acknowledging the costs of Sarbox, deep down, people will always see a move to the Pink Sheets as a red flag. Consider retailer Syms. Its stock tanked in December when it announced it would delist from the NYSE. It said it could save $750,000 a year by avoiding Sarbanes Oxley. That's a big savings for a small firm. But shareholders took issue with the move. To them, the company has given up liquidity and gutted the stock, which outweighs the cost savings. The moral here is that a desire to avoid Sarbox, while understandable, will lead to questions. Perhaps more so now than just a few years ago. Unfortunately, going private may be more difficult these days.

For more:
- here's an article from NJ.com