08/07/2026
The SEC has created a dedicated enforcement unit focused on accounting fraud, which is worth paying attention to because increased scrutiny of financial reporting also means increased scrutiny of the evidence behind it.
Audit evidence is often spread across emails, spreadsheets, and disconnected systems, making it difficult to demonstrate how key accounting conclusions were reached or that controls operated as intended.
We know that everyone in audit already knows this, but we'll say it anyway: please let every significant financial conclusion be traceable to the evidence, controls, approvals, and professional judgment that support it.
Amen. 🙏