The Securities and Exchange Commission has announced that Herbalife Nutrition—a direct selling company with operations in over 90 countries— has agreed to pay $20 million to settle charges that it made false and misleading statements about its China business model in numerous U.S. regulatory filings over a six-year period. According Read More
The Securities and Exchange Commission has charged Michigan-based automaker FCA US and its parent company, Fiat Chrysler, for misleading investors about the number of new vehicles sold each month to customers in the United States. FCA US and Fiat Chrysler have agreed to pay $40 million to settle the charges. Read More
Facebook has suspended tens of thousands of applications on its platform during an internal audit investigation it launched into app developers following the Cambridge Analytica scandal. Many were found to be improperly harvesting user data. “To date, this investigation has addressed millions of apps. Of those, tens of thousands have Read More
A new report finds that companies are making changes to financial disclosures, conducting audit “dry runs,” and even improving and adding new controls ahead of a new regulation that will require audit firms to disclose financial reporting issues that cause concern for auditors, known as “critical audit matters” or CAMs. Read More
The University of Texas School of Law is working to improve its financial oversight and controls after an internal audit found that an ex-facilities employee committed a nearly $1.6 million fraud. Former facilities director Jason Shoumaker was indicted last year on charges of theft, money laundering, and abusing his official Read More
A new academic study is calling into question a rule enacted by the Public Company Accounting Oversight Board that requires audit firms to disclose the name of the lead engagement partner who oversaw the audit. The regulation is known as Rule 3211 and took effect in January 2017. The idea Read More
Former KPMG partner, David Middendorf, was sentenced this week to a year and a day in prison for his role in a fraudulent scheme to acquire a regulator’s confidential plans in an attempt to get a leg up on audit firm inspections. The ex-KPMG exec was also sentenced to three Read More
Christina Murray, chief internal audit and global compliance at Nissan Motor Corp., resigned abruptly last week, after leading an investigation into improper compensation practices and other wrongdoing at the automaker. Reports indicate that Murray resigned in frustration when the results of the investigation led to the ouster of only a Read More
As a high-level government auditor, Beth Kennedy has investigated or reviewed the spending of many city of Los Angeles departments without serious incident, she says. But now, Kennedy, a chief internal auditor for City Controller Ron Galperin, is alleging that she was warned not to delve too deeply into controversial Read More
The SOX & Internal Controls Professionals Group today released the findings of its “ 2019 State of the SOX and Internal Controls Market Survey.” The survey, which was conducted in partnership with Workiva, measures the costs, execution, challenges and priorities faced by companies that comply with the Sarbanes-Oxley Act (SOX). Read More
