Reliq Health Technologies Inc V.RHT.H

Material Weakness: What it is, Its Impact and Examp

[lscfa]

Shields is full of it when he says no restating is required. Weak internal controls means likely financial misstatement.

 

What are indicators of material weaknesses?

There are several indicators of material weaknesses in internal controls. Some of the most notable include evidence of fraud by senior leaders, the identification of a financial misstatement in the company's financial statement missed by the company's internal controls but caught by an auditor, and poor management of a company's external and internal financial reporting.

https://www.investopedia.com/terms/m/materialweakness.asp