Daily Archives: December 6, 2013, 2:58 pm

The Effect of Audit Committee Expertise on Monitoring Financial Reporting — The Harvard Law School Forum on Corp. Gov. and Fin. Reg.

Contrary to prior studies that do not report a significant association between supervisory expertise and financial reporting quality (Krishnan and Visvanathan 2008; Dhaliwal et al. 2010), we identify instances in which audit committee members with both industry and supervisory expertise are associated with higher financial reporting quality and more effective monitoring of the external auditor. Specifically, we find that they…

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The Growth of Appraisal Litigation in Delaware — The Harvard Law School Forum on Corp. Gov. and Fin. Reg.

Numerous commentators and academics have written about the growth of M&A litigation over the last several years. Less noticed, but perhaps more significant, has been the growing tendency of institutional and other large investors to exercise their appraisal rights under Delaware law. Investors in several recent high-profile mergers have announced their intention to, or sought to, exercise their appraisal rights,…

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The Rogue Employee Myth: Prevention and Detection in a FCPA Compliance Program — FCPA Compliance and Ethics Blog

The clear lesson for the compliance practitioner from the Madoff employees’ trial testimony to-date is that there cannot be one person or the ubiquitous ‘rogue employee’ who decides to engage in bribery and corruption. There has to be more than one person. To circumvent a company’s internal controls takes work. For in any criminal FCPA enforcement matter, it is because…

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