The margin for error for finance chiefs continues to narrow as regulators strive to hold individuals responsible for companies’ misdeeds. Here are five articles looking at the potential penalties CFOs face for corporate misconduct and how to mitigate the risk.
The drive to combat corporate misconduct is making it a dangerous time to be a finance chief. The pressure has been turned up considerably in just the past year. Read more.
In May, the SEC staff in charge of reviewing companies’ filings updated its guidance on non-GAAP financial measures, which meant changes for many companies in their earnings releases. Now that more than 150 comment letters on non-GAAP measures from the SEC filings review staff have become public, here’s what CFOs need to know. Read more.
A developing trend in the SEC’s approach to accounting enforcement has increased risk for public companies in the area of internal controls over financial reporting (ICFR). Specifically, SEC enforcers have been investigating and prosecuting a broader range of ICFR violations than ever before, raising the stakes for officers certifying SEC filings and others involved in financial reporting. Read more.
Almost a quarter of all internal auditors experience pressure to change or suppress unfavorable audit findings, but the true prevalence of such pressure might be far greater. In a new report from the Internal Audit Foundation, 23% of respondents said that “yes,” they’ve been directed to suppress or significantly modify an internal audit finding or report that they believed to be valid. Read more.
Marina company officers fail to escape responsibility for paying delinquent sales taxes. Read more.