Internal audit can assist management by facilitating a fraud risk assessment. Management should make the decision both on the level of risk and whether it is acceptable. Internal audit can provide their opinion and advice on both.
The news about the Wells Fargo staff ‘scam’ (the word used in this article in SC magazine) is mind-boggling. What I found mind-boggling is that (according to CNN Money) Wells Fargo had to fire about 5,300 workers (out of a total staff estimated at 265,000, or 2% of all employees). When 2% of employees were fired, you have to assume that more people knew or should have known. The prevailing Wells Fargo culture in reality was to do what was right for the staff, not the customers!
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