The PCAOB and SOX were created in 2002 and yet accounting frauds occured, does that mean that SOX and the PCAOB are a failure? Why or why not? Solution PCAOB is the Public Company Accounting Oversight Board crested by SOX in 2002. It was created to protect the interest of the investors by checking the audits of public companies, issuers and broker dealers. It led to the preparation of accurate, informative audit reports useful for the investors. SOX or Sarbanes-Oxley Act was passed by the congress in 2002 for the protection of the investors against the fraudulent activities of the organizations. But, both these failed because of the following reasons:.