Financial Reporting and Audit Task Force

Ceresney Quote

The SEC Enforcement Division’s Financial Reporting and Audit Task Force is strengthening the agency’s efforts to identify and prosecute securities law violations related to financial reporting and audit failures.  

In addition to identifying securities law violations in the preparation of financial statements and the disclosure of financial information to investors, the task force is identifying and exploring areas susceptible to fraudulent financial reporting. These efforts include an ongoing review of financial statement restatements and revisions, an analysis of performance trends by industry, and the use of technology-based tools.

Financial Reporting Fraud Whistle  

The Financial Reporting and Audit Task Force welcomes input and information from public stakeholders who are in unique positions to help curtail financial reporting and accounting fraud, either by reporting such misconduct directly to the SEC or by sharing valuable research to inform the task force’s efforts…

Corporate Insiders

Information from a corporate insider may be the springboard for the SEC to launch an investigation, or the final piece of the puzzle in an existing investigation. The task force is particularly interested in receiving information from corporate insiders who may have witnessed or gained knowledge about improper conduct related to the preparation and audit of financial statements of public companies. In fact, fraud related to the preparation of financial statements or issuer reporting and disclosure can be extremely difficult to uncover without the help of corporate insiders. Submit a tip or complaint

Gatekeepers

The SEC draws on a number of sources to help identify possible financial fraud. Attorneys and auditors involved in the financial reporting process can spot misconduct by a company, its management, or its auditor. Submit a tip or complaint

Academics

Part of the task force’s mandate is to develop a deep understanding of the state of financial reporting specifically with respect to areas that are susceptible to fraudulent financial reporting and the related internal controls. Academics and others performing research in this area are invited to submit working and final drafts of academic research relevant to the task force’s work. As a matter of policy, SEC staff will not comment or serve as editor/reviewer for submitted papers, but the research may be helpful in informing the work of the task force. Submit papers or other research information to: FinancialReportingandAuditTaskForce@sec.gov


Task Force Leadership

  • Chair: David Woodcock
    Vice Chair: Margaret McGuire

Resources