gement Practices 159 c. The Company's Exposure to Market Risk d. The Company's Compliance With Banking 162 Regulations 162 e. The Company's Internal Controls 163 f. Deloitte's Certification 164 B. Statements Relating to Fiscal Year 2007 Results 164 I. First Quarter 2007 Results 164 a. First Qua

inflated marks on assets subject to mark disputes; and (iii) falsely inflating its net capital by using misleading methods to calculate VaR. (iv) Internal Controls 732. Defendants Cayne and Molinaro each made false and misleading statements when they executed Sarbanes Oxley Act certifications, annexed as an e

udit committee and auditors all significant internal control deficiencies. SOX Section 404 (15 U.S.C. § 7262)—Reporting on the State of a Company's Internal Controls over Financial Reporting Sarbanes-Oxley also strengthened a company’s required disclosures concerning the state of its internal con- trol over finan