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Online shift prompts rise in regulatory investigations

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Poorly implemented technology blamed for increased scrutiny

More than 40 per cent of companies are involved in regulatory investigations resulting from efforts to digitise, reports the Financial Times. Law firm Baker McKenzie surveyed 1,550 companies in the UK, US, Brazil and China, and found that 47 per cent of companies had accelerated their digital focus as a result of the pandemic. However, many companies said they lacked the resources to manage the new compliance burden, leading to regulatory investigations in areas such as data privacy, cyber-security and fraud. Many problems have arisen from remote working, where employees have often failed to follow protocols, said the newspaper. 

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More than 40 per cent of companies are involved in regulatory investigations resulting from efforts to digitise, reports the Financial Times.

Regulatory Watch
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