Welcome to The Woody Report, where Washington and Lee, School of Law Associate Professor Karen Woody and host Tom Fox discuss issues on white collar crime, compliance issues, international corruption, securities and accounting fraud, and internal corporate investigations. From current events to topical issues to academic research and thought leadership, Karen Woody helps lead the discussion of these issues on the new and exciting podcast.

In this episode, Tom, Karen and a few colleagues explore dismissal of the SEC Complaint against Solar Winds and its CISO.

Karen delves into a significant SEC case involving SolarWinds, focusing on the company’s cybersecurity practices and the ensuing legal battle. The discussion covers the SEC’s allegations of securities fraud and misleading statements about cybersecurity, particularly surrounding the Orion software platform and the Sunburst cyber-attack. Woody emphasizes the internal controls provision, citing a judicial opinion that narrows its applicability to accounting controls.

The conversation also highlights the lingering personal liability for SolarWinds’ CISO, Timothy Brown, and broader implications for the industry, including accountability and the need for clearer cybersecurity regulations.

Key Highlights:

Overview of SolarWinds and SEC Allegations: Internal Controls and Legal Implications
Judge’s Ruling and Its Impact
Broader Implications for enforcement for data breaches going forward

Resources:

Karen Woody on LinkedIn

Karen Woody at Washington & Lee, School of Law

Tom Fox

For more information on the Ethico ROI Calculator and a free White Paper on the ROI of Compliance, click here.