CFE – Fraud Prevention and Deterrence — Question 20

Which of the following statements regarding best practices that organizations can take to protect and support whistleblowers is MOST ACCURATE?

Answer options

• A. Organizations should emphasize that rules regarding whistleblower protections are only intended for lower level employees who might be more vulnerable to retaliation
• B. Organizations should establish formal consequences that are to be imposed upon employees at the company who retaliate against a whistleblower
• C. Organizations should publicize their whistleblower procedures internally but should avoid communicating any procedural information to parties outside of the organization.
• D. Organizations should implement a clear whistleblower policy that lists out every type of misconduct that has ever been reported at the company

Correct answer: D

Explanation

The correct answer is D because a clear whistleblower policy that outlines all types of misconduct fosters transparency and ensures employees understand what is reportable. Option A is incorrect as protections should apply to all employees, not just lower-level ones. Option B, while important, does not fully encapsulate the proactive approach needed, and Option C limits necessary communication about procedures that could support whistleblower safety.