PALM DESERT, Calif. - Ensuring that fund companies are complying with provisions of new anti-corporate fraud legislation will be at the top of the Securities and Exchange Commission's agenda for regulating fund companies in 2003, an SEC official said late last month.

Specifically, regulators are looking to ensure that the process that top fund executives use to sign off on shareholder reports is effective (see related story, page 1). SEC officials will also look to ensure that firms' disclosure controls, or the documented process for disclosing information to investors, is adequate. The requirements are provisions of the Sarbanes-Oxley Act, the anti-corporate fraud legislation that was precipitated by scandals at Enron, WorldCom and others.

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