According to Section 302 of the Sarbanes-Oxley Act, who is required to personally certify the items in the company's reports?

Section 302 of the Sarbanes-Oxley Act mandates that the CEO and CFO of a public company personally certify the accuracy and completeness of the financial reports provided to investors. This provision was established to enhance the accountability of top management regarding the financial health of the organization. The requirement ensures that these executives take responsibility for the integrity of their financial statements, which is essential for maintaining investor confidence and ensuring transparency in financial reporting.

This personal certification serves as a deterrent against fraud, as it places the onus on the highest levels of management to ensure that the company’s financial disclosures are not misleading or inaccurate. By including the CEO and CFO in this requirement, the Act aims to promote a culture of ethical financial practices and safeguards against potential misrepresentation.

Other entities such as the Audit Committee, Internal Controls Committee, or the Board of Directors are important in governance and oversight, but they do not have the specific requirement for personal certification of financial reports as stipulated by Section 302. The focus on the CEO and CFO highlights the importance of leadership accountability in financial reporting processes.