April 20, 2020
Published: The CAQ
The COVID-19 pandemic has resulted in unprecedented social and economic paralysis. Most companies have transitioned to an entirely remote workforce, and while existing technologies have facilitated connectivity via cloud computing and video and teleconferencing services, working in this new environment still poses numerous challenges. It is hard to predict the effects this “new normal” will have on operations because even experts can’t say with certainty how long it will take to contain the virus or how long its economic effects will last.
In the past several weeks, much has been written about the wide range of issues that companies are facing as a result of COVID-19. Abundant resources discuss the accounting and reporting implications. The Center for Audit Quality (CAQ) is working to create resources, as well as curate and distill information from regulators, its member firms, and Anti-Fraud Collaboration partners.
This resource is intended to heighten awareness of the risk for fraud and misconduct that might occur inside an organization during, or as a result of, this crisis. Even if most people behave ethically, members of the financial reporting supply chain should review the controls, processes, and procedures that they have in their arsenals: a robust crisis and fraud risk management plan, a healthy dose of skepticism, and a strong culture of integrity.