Key Takeaways:

• Audit Committees should have a playbook when allegations of fraud arise.
• The Audit Committee’s response level to a particular allegation will depend on the scope of the allegation and the corporate environment.
• Determining when an independent investigation is necessary and how independent it needs to be is determined by the context of fraud allegations.
• Timeliness is critical.
• Care should be taken in communicating with stakeholders.