We are occasionally asked what impact, if any, the FCPA has on internal controls other than asking the obvious question, “Have you seen any violations of the FCPA?” Many people might not be aware that the FCPA calls out specific internal control responsibilities as part of their Books and Records and Internal Control provisions, which require:
Tags: FCPA, internal control
There are serious consequences when public companies publish inaccurate earnings reports and then must restate those earnings at a later date. The corporate entity itself is subject to SEC fines, shareholder lawsuits, and a plummeting stock price, while the individuals who signed off on the original statements (including executives and board members) can be personally sued as well as required to pay back compensation received during the years in question (see our posts on the clawback provision).
Tags: financial risk, internal control
SSAE 16 - a new accounting standard for evaluating service organizations' operational and financial controls - will replace SAS 70 effective June 15, 2011.
Tags: AICPA, SSAE 16, SOC, internal control, SAS 70, service organization controls
Tags: Accounting Tip of the Day, risk assessment, audit costs, Non-accelerated filer 404(b) information, internal control
In the bad old days, it took a few phone calls to your auditor and maybe lunch with one of your finance colleagues to get answers to your toughest questions about internal controls, compliance, and risk management.
