To Audit Remotely Or Not: Practical Tips For Remote Anti-Corruption Compliance Audits

Much ink has been spilled since the onset of the pandemic on the feasibility, pros, and cons of conducting remote court hearings, depositions, witness interviews, and deal closings. But what about compliance audits? Is it possible to conduct an effective compliance audit by video? And if so, what are the pros and cons? Keep reading for some practical tips.

What is a compliance audit?

A compliance audit is a formal review of an organization's compliance with particular laws, regulations, or policies. US enforcement authorities recently have taken increasing interest in compliance audits as a way to manage corruption risks associated with third parties and often will ask companies whether they not only include audit rights in contracts with third parties but also if they exercise any such rights. Audits typically include some combination of an examination of a third-party's books and records, testing of selected transactions, interviews of relevant personnel, and