Corporate boards face exponentially escalating risks – at the heart of this development is the rapid escalation of board member accountability. Board members are no longer operating in a sinecure, free from legal risks. The walls are changing. A perfect example of the changing landscape of risk is the importance of cybersecurity oversight and protections. The criminal cyberattack against the Colonial pipeline and the acknowledge...
Jonathan Marks, Partner, Baker Tilly, joins us for a posting on the importance of corporate board oversight of ethics and compliance programs. Jonathan’s profile is here and his email contact is [email protected]. Under the U.S. Federal Sentencing Guidelines, in order to receive credit for having an effective compliance program, and thereby reduce the fines imposed on the organization, a Board of Directors must be “knowledgeable...
When reviewing a major enforcement case, I always ask two basic questions: What was the role of Board and senior management in the failure, and how did they fail to exercise proper oversight and ensure compliance? What was the company’s culture and what steps did the Board and senior management take to implement and monitor an effective ethical culture? After reading the Airbus’ factual proffer,...
