§1350 Failure of corporate officers to certify financial reports

Summary

Every periodic financial report a company files with the SEC under section 13(a) or 15(d) of the Securities Exchange Act of 1934 must include a written statement signed by the chief executive officer and chief financial officer (or people with the same jobs). The statement must say the report fully meets the law’s rules and that the financial information fairly shows the company’s financial condition and results of operations in all important ways. If a CEO or CFO signs that statement while knowing the report does not meet those requirements, they can be fined up to $1,000,000 or sent to prison for up to 10 years, or both. If they intentionally sign the statement knowing it is false, the fine can be up to $5,000,000 or prison for up to 20 years, or both.