The development of reputations online is complicated because, in the digital environment, judgments are generally formed on information people read about others, or images they see, often without the benefit of personal contact and not necessarily in the same context in which it was intended.

Moreover, information, once posted online, gains characteristics that affect reputation – it can easily be distorted, is persistent and can be extremely difficult to remove.

Review the Draft Position on the OPC's website and an article on Borden Ladner Gervais' website.

The memo notes that, so far, the unit’s attention has focused on allegedly improper trading involving hacking and cryptocurrency and ICO fraud claims. And it speculates that the next target may be cybersecurity lapses.

The memo says that the speech pointed to SEC Regulations S-P, SCI and S-ID – which require that covered entities “understand the risks they face & take reasonable steps to address those risks” – including putting “reasonable safeguards in place to address cybersecurity threats.” While noting that no cases involving failure to maintain proper cybersecurity safeguards have been brought as yet, other enforcement proceedings under those rules may provide a roadmap for future actions.

Review the full memo on Clearly Gottlieb's website and the announcement on the SEC's website.

While there are many questions around the GDPR, one key question that organizations outside of the European Union (the “EU”) are asking is whether they are required to comply with the GDPR, even if they do not have a physical presence within the EU. While the answer will largely depend on the specific activities of each organization, there are good reasons to believe that in many instances, compliance with the GDPR may be required.

Review the full article Miller Thomson's website.

The proposed investment will serve primarily to establish the Canadian Centre for Cyber Security and the National Cybercrime Coordination Unit, which will serve as pillars of the federal government’s soon to be announced National Cyber Security Strategy.

Review the full article on Miller Thomson's website.

A Q&A followed Michael’s presentation where he and Craig answered questions from Members of Parliament, offering insights on a broad range of topics—everything from the challenges to Canada’s productivity, attracting top talent, innovation, and competitiveness and business attractiveness.

The consultations are held each year by the bi-partisan Finance Committee in order to develop recommendations to the Finance Minister regarding the following year’s budget. Deloitte was one of the organizations invited to present in person during the Toronto stop of the committee’s cross-country consultations.

Review a recording and full transcript on the House of Commons Canada's website.

More than 260 French-speaking organizations use the GRI framework to produce sustainability reports that clearly show their economic, social and environmental impacts. And with the change from G4 Guidelines to GRI’s Sustainability Reporting Standards (GRI Standards), these organizations can work with a new clear, modular model to help them improve on their reporting.

Review the press release and the French translations on the GRI's website.

The GAO says that the biggest constraint that the SEC faces in reviewing the adequacy of climate-related disclosure is its dependence on self-reporting.

The GAO also found that, not surprisingly, companies think they’re doing enough in terms of climate-related risk disclosure. But while some investor groups push for more, the GAO says there’s not a clear consensus on how big a priority this should be.

Review the full report on the GAO's website.

In response to regulatory and other stakeholder feedback on the topic, the paper explores:

1. The behavioral characteristics comprised in professional skepticism;
2. Whether all professional accountants should apply these behavioral characteristics; and
3. Whether the International Code of Ethics for Professional Accountants (including International Independence Standards) should be further developed to address behaviors associated with the exercise of appropriate professional skepticism.

Through this initiative, the IESBA also aims to reinforce the effective exercise of professional skepticism by auditors.

The consultation paper was developed following close coordination with the International Auditing and Assurance Standards Board (IAASB) and the International Accounting Education Standards Board (IAESB), and with advice from the IESBA Consultative Advisory Group.

Review the press release and consultation paper on the IESBA's website.

Beyond the new structure, the Code brings together key ethics advances over the past four years, and is clearer about how accountants should deal with ethics and independence issues.

While the fundamental principles of ethics have not changed, major revisions have been made to the unifying conceptual framework—the approach used by all professional accountants to identify, evaluate and address threats to compliance with the fundamental principles and, where applicable, independence. New Code highlights include:

• Revised “safeguards” provisions better aligned to threats to compliance with the fundamental principles;
• Stronger independence provisions regarding long association of personnel with audit clients;
• New and revised sections dedicated to professional accountants in business (PAIBs) relating to:
  • preparing and presenting information; and
  • pressure to breach the fundamental principles.
• Clear guidance for accountants in public practice that relevant PAIB provisions are applicable to them;
• New guidance to emphasize the importance of understanding facts and circumstances when exercising professional judgment; and
• New guidance to explain how compliance with the fundamental principles supports the exercise of professional skepticism in an audit or other assurance engagements.

Renamed the International Code of Ethics for Professional Accountants^TM (including International Independence Standards^TM), the new Code becomes effective in June 2019.

Review the press release, the new Code and a resource page on the IESBA's website.

The revised standard sets out a comprehensive framework that more clearly delineates the boundaries of acceptable inducements, and guides the behavior and actions of professional accountants in business and in public practice in situations involving inducements.

Central to this framework is a new intent test that prohibits the offering or accepting of inducements where there is actual or perceived intent to improperly influence the behavior of the recipient or of another individual. The framework also:

• Clarifies the meaning of an inducement;
• Establishes a requirement to understand and comply with laws and regulations that prohibit the offering or accepting of inducements in certain circumstances, such as in relation to bribery and corruption;
• Guides professional accountants in applying the enhanced conceptual framework underpinning the International Code of Ethics for Professional Accountants (including International Independence Standards) where there is no improper intent; and
• Provides enhanced guidance on the offering and accepting of inducements by professional accountants’ immediate or close family members.

The revisions to the Code become effective June 2019, including consequential amendments to the independence provisions of the Code addressing gifts and hospitality. The changes constitute the last piece of the recently revised and restructured Code.

Re­view the press re­lease and the revised standard on the IESBA's web­site.