Below is a summary of the SEC corporate governance requirements of companies publicly-listed in the stock exchange. For each requirement, state how it is intended to help to address the risk of fraud in publicly traded organizations.

1. Boards need to consist of at least 3 independent directors or 1/3 of the board which is higher.
2. Boards need to hold regular executive sessions of independent directors without management present.
3. Boards must have a / corporate governance committee composed at least3 of independent directors.
4. The corporate governance committee must have a written charter that addresses the committee's purpose and responsibilities, and there must be annual performance evaluation of the committee.
5. Boards must have an audit committee with a minimum of three independent members.
6. The audit committee must have a written charter that addresses the committee's purposeandresponsibilities,andthecommitteemust produce an audit committee report; there must also be an annual performance evaluation of the committee.