Sojitz, together with Thirty-two Companies such as Woodland and Adecco, Establishes 'J-SOX Preparatory Association'
To provide Know-how about and Services concerning J-SOX
Jun. 26, 2006
Together with thirty-two member companies, such as software developer Woodland Corporation, leading staffing company Adecco Ltd., software developer Sorun Corporation, digital certificate software developer Nextage Co., Ltd. and Nissho Electronics Corporation, Sojitz Corporation has established the 'J-SOX Preparatory Association' (Office: Minato-ku, Tokyo; Chair: Yasuyuki Fujishima), a voluntary organization that provides support services to companies that are in compliance with the Financial Products Transaction Law (commonly known as J-SOX, the Japanese version of the Sarbanes-Oxley Act). The 'J-SOX Preparatory Association' will be the first consortium to consist of companies from multiple industries coming together to provide support services concerning J-SOX. The 'J-SOX Preparatory Association' aims at providing its services to about 500 user companies over the next three years.
Amendments to the Japanese Corporate Law, which took effect in May 2006, mandates companies that are capitalized at 500 million yen or more to establish basic guidelines concerning their internal control systems. Further, application of J-SOX to all listed companies is planned to begin in the year ending March 2009. In a bid to deal with such new regulations, many of the subject companies will require business- and system-consulting services from companies with specialized expertise. In consequence, it is assumed that companies will be expected to introduce new systems or review their existing systems, and they are currently seeking outsourcing companies with whom they can consult. Although a number of companies have developed J-SOX-compliant solutions, and have started making proposals to user companies, it is thought to be extremely difficult for a single company to provide the most suitable solution throughout the whole range required by user companies. Against the backdrop of such circumstances, the 'J-SOX Preparatory Association' has been established in order to provide services as seen from the standpoint of the user companies.
The 'J-SOX Preparatory Association' consolidates the know-how and services of its respective consulting company and IT company members. The association aims to provide a one stop support service; from neutral and fair consulting to auditing, mainly targeting medium-sized companies and start-up companies without regard to specific vendor solutions.
The 'J-SOX Preparatory Association' will start out with thirty-three founding member companies, and has plans to increase the number of member companies to 200 in thee month's time, aiming at companies that provide J-SOX-related services and solutions and at user companies on the receiving end of such services and solutions. Companies that provide services can be registered as member companies by paying an administration fee of ¥50,000 and an annual fee of ¥360,000. User companies are required to pay an annual fee of ¥120,000, with no administration fee.
Outline of J-SOX Preparatory Association
|Name||J-SOX Preparatory Association|
|Address||Kokuksai Shin-Akasaka Building, 1-20 Akasaka 6-Chome,. Minato-ku, Tokyo|
|Chair||Yasuyuki Fujishima (Director, Senior Managing Executive Officer of Sojitz Corporation|
|No. of member companies||33 (as of June 26, 2006)|
Major Member Companies
Sojitz Corporation (Securities Code: 2768)
Woodland Corporation (Securities Code: 4652)
Adecco Ltd. (Head Office: Minato-ku, Tokyo; Chairman & CEO: Mark Du Ree)
Sorun Corporation (Securities Code: 9750)
Nissho Electronics Corporation (Securities Code: 9865)
Nextage Co., Ltd. (Head Office: Omiya-ku, Saitama; Representative: Sachio Sobajima)