Referral pathway
Definition
The institutional or personal channel through which the trigger reaches the forensic auditor. Pathways include the audit committee, internal audit, external auditor, a regulatory body, or law enforcement. The pathway determines reporting lines, independence requirements, and evidence-sharing obligations.
Related terms
- Audit committee referral
- A mandate from the board's audit committee to conduct a forensic investigation. Because the audit committee is independent of management, this pathway...
- Engagement trigger
- The event, report, or observation that initiates a forensic audit engagement. Common triggers include whistleblower reports, regulatory referrals, audit anomalies, and management...
- Predication
- The reasonable basis that justifies opening a fraud examination. The ACFE holds that no examination should begin without adequate predication, meaning a...
- Regulatory referral
- A direction from an external oversight body such as the US Securities and Exchange Commission, the UK Financial Conduct Authority, India's Serious...
- Whistleblower
- An individual, typically an employee or former employee, who reports suspected misconduct to an internal hotline, audit committee, regulator, or law enforcement...
Explained in
- Engagement Triggers and Referral PathwaysThe institutional or personal channel through which the trigger reaches the forensic auditor. Pathways include the audit committee, internal audit, external au...