president bush signed the sarbanes-oxley act into law during july 2002, which he called "the most far-reaching reforms of american business practices since the time of franklin delano roosevelt." the law was passed in the wake of several corporate scandals and widespread stock market losses. the law addressed conflicts of interest between accounting firms and the corporations they audit and required executives to certify the accuracy of the corporation's financial statements. the law has been controversial, with some advocating its positive effect on investor confidence and detractors citing its significant cost.