Don't miss out! Sign up today for our weekly newsletters and stay abreast of important GRC-related information and news.
e-Book: AML Compliance: 2015 Update
You can encounter some very shady characters while conducting business globally—and some very aggressive regulators determined to stamp out the money laundering those characters do. In this e-Book, produced by Compliance Week in cooperation with KPMG, we look at how companies manage AML compliance in today’s climate and how to integrate that newly heightened risk into your existing compliance program. Click here to download.
U.S. audit regulators are not the only ones alarmed by high rates of busted audits. Around the globe, audit regulators who are members of the International Forum of Independent Audit Regulators compared notes and found nearly half of the audits they inspected in 2014 contained deficiencies that suggest the audit firm didn’t have enough evidence to issue a sound opinion.
Effective case management is crucial to a compliance program, but developing a process—flexible enough to juggle different types of issues, systematic enough to resolve cases in a timely manner—is the tricky part. This week in a guest column, Marita Janiga, director of the National Special Investigations Unit and the Compliance Hotline team at Kaiser Permanente, shares how Kaiser works to triage cases and track issues for better reporting and analysis.
For nearly three years, HSBC Holdings, a grande dame of international banking, has come under fire for a litany of regulatory problems and compliance failures: money laundering, sanctions, violations, and abetting tax evasion to name just a few. How does a good bank fall into such dire straits? The problem, experts say, is the perilous intersection of rapid growth and faltering internal controls.
A funny thing happened on the way to a 2015 annual meeting season expected to be polarized by the return of shareholder access to the proxy: a possible path to consensus emerged, led by General Electric. This week, columnists Stephen Davis and Jon Lukomnik trace how regulators, activists, and companies reached this state of affairs, and whether proxy season will be a more civilized affair in 2015.
Despite consensus that risk is a big deal—something companies should manage aggressively—recent academic research suggests that boardroom leaders focus on vastly different risks than compliance, audit, and risk executives do. “I wonder if there is a lack of understanding of the views of risk across the management team,” says Mark Beasley, a professor at North Carolina State. “The presumption may be that we are more on the same page than we really are.”
New York plan to bolster cyber-security oversight in the insurance sector, including regular, targeted assessments of cyber-security as part of its exam process. “Recent cyber-security breaches should serve as a stern wake-up call for insurers and other financial institutions to strengthen their cyber-defenses,” said New York Department of Financial Services Superintendent Benjamin Lawsky. Consequences are likely to be felt well beyond the Empire State. Details inside.
Canadian securities regulators for the first time are proposing a whistleblower rewards program, modeled after the SEC’s program created by the Dodd-Frank Act. The proposed initiative is the latest move by Canadian authorities toward a U.S.-style enforcement regime—and in some instances an even harsher one. “Canadian enforcement is going to continue at an increased pace,” says Mark Morrison, with law firm Blakes. Details inside.
Every February SEC officials convene at the Practising Law Institute’s “SEC Speaks” conference, where commissioners can break news and staff can detail priorities for the New Year. The focus this year, from rulemaking to enforcement, was on financial reporting internal controls, and ways to improve audit committees. And, of course, FCPA enforcement remains in the spotlight. More inside.