Secure Messaging Solutions and Sarbanes-Oxley Compliance
If you’re a financial company considering enterprise messaging technology, it’s important to familiarize yourself with Sarbanes-Oxley compliance standards. Enacted in 2002, Sarbanes-Oxley, or SOX, is a federal law that protects corporate shareholders and clients from fraud, and aims to improve how companies disclose and retain information.
Non-compliance can be costly, with fines topping $1 million and up to five years in prison for some offenders. But the good news is that the steep cost of non-compliance can be avoided if you consistently and diligently monitor how employees are communicating and storing information through the use of enterprise messaging technology.
How Secure Messaging Solutions Help Enterprises Maintain Sarbanes-Oxley Compliance
Sarbanes-Oxley regulates the use of electronic media in enterprises, including email and instant messages. However, email has become increasingly difficult to monitor and it’s challenging to securely store messages. This creates a big problem for enterprises, since Sarbanes-Oxley requires firms to log and maintain messages in a way that can be easily called up. Difficulty with email solutions has led more and more companies to turn to secure instant messaging platforms for internal company correspondence.
But how can instant messaging better serve your enterprise and help you comply with SEC regulations? An encrypted messaging solution uses three important features. These features not only constitute a more secure form of file sharing and transmission, but also help your enterprise maintain Sarbanes-Oxley compliance standards:
- Security – Financial information is some of the most highly sensitive data out there. And it’s also a big target for hackers and data thieves. Secure instant messaging technology that leverages high-level encryption (256-bit is considered an industry standard) protects information shared internally among employees. The security of proprietary information is clearly outlined in Sarbanes-Oxley, and should remain a top concern for companies in the financial and banking sectors.
- Message Storage – Sarbanes-Oxley requires companies to store electronic messages and correspondence for at least three years – which is difficult to achieve with email. Messages get deleted and filtered into different folders, making them increasingly difficult to find. A robust messaging solution will use a cloud-based storage system to make things like message retrieval and audits simple.
- Account Management – Enterprises that want to maintain Sarbanes-Oxley compliance need constant visibility into employee message accounts. When you use an encrypted messaging platform, the head of your IT department can monitor all employee message activity and manage all employee accounts. You’ll have the ability to wipe data and inactivate accounts. And if it’s a matter of urgency, these actions can be completed remotely.
Now that you know what it takes to achieve Sarbanes-Oxley compliance, it’s time to find the encrypted messaging technology to help you get there.
That’s where NetSfere comes in.
We’ve designed a cloud-based, enterprise-class encrypted messaging solution that makes file sharing and internal collaboration easier than ever for financial industry employees. Our solutions offer robust levels of security, improved account controls and more to ensure that your enterprise remains fully compliant with Sarbanes-Oxley and other SEC regulations.
To learn more about how instant messaging solutions can help maintain Sarbanes-Oxley compliance, contact NetSfere today.