Management is accountable to the . . . [legislative body], which provides
governance, guidance and oversight. Effective . . . members [of the legislature]
are objective, capable and inquisitive. They also have knowledge of the
entity’s activities and environment, and commit the time necessary to fulfill
their . . . responsibilities.Management may be in a position to override
controls and ignore or stifle communications from subordinates, enabling
a dishonest management which intentionally misrepresents results to cover
its tracks. A strong, active . . . [legislative body], particularly when coupled
with effective upward communications channels and capable financial,
legal and internal audit functions, is often best able to identify and correct
such a problem.