Preparing for whistleblowing

SEC prepares to revamp whistleblowing process in preparation perhaps for an influx of tip offs from disgruntled ex-employees

The SEC is right to revamp its whistle-blowing processes, with all those disgruntled employees being made redundant or foregoing their bonus payments to stave off reputational risk issues, there is likely to be a sharp increase in the number of whistle-blowers and tip-offs for bad process or controls in a bid for revenge. Better to ensure the internal whistle-blowing process is in good shape so firms can deal with problems in house before they reach the attention of the regulators or the press.

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