Control Procedures on Stock Fraud in Apple Corporation

Control procedures( Fraud prevention)
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The discovery of stock fraud in the Apple corporation influenced the organization to adopt new practices to adhere to the United States Sarbanes-Oxley Act. This Act shields investors against fraudulent corporate financial reporting and documentation. No stock-option grants from later years that might have required accounting amendments were discovered during the inquiry. Apple stated that it planned to implement other suggestions made by a special committee to enhance the stock grant procedure (Holt, 2007).
Cases like these can occur in any company where there are loops in control and oversight procedures. The executives in every organization have significant power and influence. Therefore, they can sometimes feel invincible while breaking the law. It is also easier for them to cover up themselves in those positions. One efficient control of such cases is the segregation of duties. This ensures that none of the employees has control of a full process. Increasing the proto...