Assess whether a referral to counsel is warranted (649bc8)

Situation

Related-Party and Corruption Risk work in a nonprofit with restricted-fund complexity now turns on a referral to counsel is warranted because a PE quality-of-earnings request arriving Friday put intercompany elimination mismatch report in play. Internal audit investigations manager should say what intercompany elimination mismatch report proves.

Decision

Internal audit investigations manager in a nonprofit with restricted-fund complexity must choose Remove access or reverse the item / Temporary compensating control / Approve a documented exception / Hold using intercompany elimination mismatch report after a PE quality-of-earnings request arriving Friday.

Hypotheses to test

• Internal audit investigations manager can defend Remove access or reverse the item from intercompany elimination mismatch report after a PE quality-of-earnings request arriving Friday in a Forensic Accounting challenge.
• Internal audit investigations manager cannot defend Remove access or reverse the item from intercompany elimination mismatch report; Temporary compensating control is what the extract actually supports after a PE quality-of-earnings request arriving Friday.
• A PE quality-of-earnings request arriving Friday never reached the population in intercompany elimination mismatch report — reopen intake, do not close a referral to counsel is warranted.
• Two facts in intercompany elimination mismatch report after a PE quality-of-earnings request arriving Friday conflict for internal audit investigations manager; hold this Related-Party and Corruption Risk file.

Analysis required

• Reconstruct vendor, journal, or inventory lines in intercompany elimination mismatch report through the window opened by a PE quality-of-earnings request arriving Friday.
• Trace approval, SoD, and related-party links that intercompany elimination mismatch report actually shows.
• Test cutoff, reversals, and system-of-record ties for materiality on a referral to counsel is warranted.
• For this Forensic Accounting Related-Party and Corruption Risk file, read intercompany elimination mismatch report against a PE quality-of-earnings request arriving Friday and write the one fact that would move a referral to counsel is warranted for internal audit investigations manager.

Recommendation