School Districts can learn a lesson in fraud prevention from Corporate America.
Great River N.Y., July 15, 2004:The recent scandal in the Roslyn School District mirrors the scandals of Enron: neglected financial controls creating a climate that allowed a top management/officials to allegedly steal millions.
(PRWEB) July 16, 2004 -- The Lesson: Corporate American now has checks and
balances to prevent accounting irregularities, mandated by the Sarbanes-Oxley
Act. The Sarbanes-Oxley Act makes it mandatory for publicly listed companies to
implement procedures for auditing and accounting controls. These new
requirements are intended to provide the early detection necessary to quickly
identify and prevent potential accounting irregularities and
wrongdoing.
Sarbanes-Oxley Section 301 requires publicly listed companies
to establish a procedure for the receipt, retention and treatment of anonymous
submissions by employees of accounting irregularities.
It is still
uncertain of how wide spread the issues are at the Roslyn School District.
However, it appears that many may have had suspicions and/or knowledge of the
illegal activity.
When Report it is part of an organizations ethics
policy, code of conduct, etc., it acts as an early detection system as well as a
deterrent for illegal activity.
If employees of the Roslyn School
District had a place to safely and anonymously Report it to an independent
auditor or several members of the School Board, the situation may have been
prevented or at the very least detected earlier.
Report it is an
independent third party anonymous hotline service based in Great River, New
York. Report it provides accounting irregularities hotline services for many
NYSE, NASDAQ and AMEX listed companies. Report it also provides school safety
and violence prevention hotlines.
For Accounting Irregularity hotline
services go to: http://www.reportit.net
For School Safety hotline service
see: http://www.report-it.com
For additional information on
the Report it service, please contact Kim Roges at 631.224.9500.
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Source : http://www.prweb.com/releases/2004/7/prweb141444.htm