Sergeant-at-Arms: Don Rossman gave and collected the first dollar to announce the Cavs are going back to Wine and Gold as the team colors. Other dollars were collected for visitors, our speaker, the good of the order, in-laws visiting from Sweden, 18 sunny days on vacation in England and Wales (John K), time with granddaughter (John), missed meetings, the Steelers win, highway clean-up, 18 days of peace and quiet at the office (Sonny K!!!), missed board meeting (oops, again), getting a tan in the Bahamas (Bijay), the Beehive on the website, thanks to Bob for the Cabin (Dan W. who assured us no children were conceived on this trip), for Cinzia’s new baby girl, Emma (great name-thanks for coming to the meeting as sleep deprived as you were-next time bring Emma!!), Andrea announced her engagement!!! Congratulations!! Unfortunately, she will be moving to the Akron/Greene Rotary then on to Las Vegas after the first of the year (she welcomes visitors). We will miss you Andrea...but until you are gone we will work you like a slave!! Don S. reported that we have sponsored a nominee for the Rotary World Peace Scholarship. Her name is Mary Beth Gainard and she breezed through the District competition. 70 of these scholarships are given out worldwide and they are used to help fund a masters degree in a field such as conflict resolution, international relations, etc. We wish her well.

Guests: Sonny K.

Students: Vincent Philippart

Prospective Member: Chris Hoyt, Product Manager, has been proposed for membership by Don Rossman.

Damon Bryan been proposed for membership by Mark Farnham.

Dayne Wendling has been proposed by Brad Grubb.

Upcoming programs: October 17—Taste of Medina at Weymouth Country Club @ 5:00

October 24—Miss Medina County/Miss Teen Ohio

The Reverse Raffle: Mark your calendars for November 8th. Tickets are $65 each. Big prize is $2,500 and then there are the side boards!!!! Please sell tickets to people who will attend. We want this to be a fun event and also make $$$ for the scholarships. We will run a practice event at the meeting on November 6th so come ready to have fun.

Announcement: Please get your e-mail address to Ed McGannon if you have one. The Beehive will be available only through e-mail, the website or a hard copy at the next meeting. This will save the club money and allow us to do more for the community (that’s why we are here!!)

Program: Bill Breck spoke to the club about his knowledge of the Sarbane-Oxley Act of 2002. This law went into effect after the creative accounting done by Arthur Anderson that, when made public, led to the demise of Enron. Criminal indictments were filed against many partners involved in the scandal which eventually brought down the company. Arthur Anderson was considered one of the most aggressive accounting firms and has had other clients that have gone into bankruptcy such as Tyco and WorldCom.

The S&O Act went into effect July 30, 2002. There were 3 important changes made to existing legislation: 1) if you are the independent auditor, you cannot function as the internal auditor as well; 2) auditors cannot provide implementation of accounting systems (now done by management consulting firms); 3) “expert services” are prohibited (i.e. executive loans, private planes for personal use, exclusive tickets…). An Independent Oversight Board is to be formed. All accounting firms must register with this board. According to Bill, the change in accounting practices is positive. Perks to management have been greatly reduced. Audit committees have new responsibilities and power and each expense to the company must be accounted for accurately. CEO’s and CFO’s must certify the books are accurate and if not will be held accountable through criminal charges. This law makes it much more difficult to hide financial problems and allows for criminal charges brought to those who break it.