Remove 2001 Remove Application Remove Mitigation
article thumbnail

Internal Controls to Prevent Financial Statement Fraud

Reciprocity

energy company coasted on accounting fraud until it imploded in 2001, leading to the passage of the Sarbanes-Oxley Act the following year. Internal controls assure the audit committee, board of directors, and senior management that the company’s financial reporting is reliable and compliant with applicable laws and regulations.

Audit 52
article thumbnail

Internal Controls to Prevent Financial Statement Fraud

Reciprocity

energy company coasted on accounting fraud until it imploded in 2001, leading to the passage of the Sarbanes-Oxley Act the following year. Internal controls assure the audit committee, board of directors, and senior management that the company’s financial reporting is reliable and compliant with applicable laws and regulations.

Audit 52
article thumbnail

Black Swans and Swiss Cheese – A Boat Crash in Baltimore

Plan B Consulting

Traditional risk management focuses on identifying and mitigating risks that can be predicted based on historical data and past experiences. The only mitigation was that the incident occurred in the middle of the night rather than at peak rush hour, so the casualty count was much less than it could have been.

Banking 52