ESG Integrity

Environmental, social, and governance pressures

Expectations regarding companies’ Environmental, Social, and Governance (ESG) practices continue to evolve. Investors and customers are increasingly putting pressure on companies.

At the same time, companies are coming forward with bold ESG commitments (e.g., to align with net zero), which often have accelerated timeframes and are often tied to executive compensation. These pressures, combined with an evolving standard-setting, regulatory, and internal control environment, can create risk for potential ESG fraud, misrepresentation, and costly litigation.

How KPMG can help

We often work with legal counsel to help clients identify, mitigate, respond to and remediate ESG misconduct and litigation risks and concerns: 

• Identify and mitigate ESG misconduct risks, including:
  • Ethics, compliance, and fraud risk management
  • Anti-bribery
  • Anti-money laundering and other financial crimes
  • Integrity due diligence and third-party risk management
• Respond to and remediate ESG misconduct/litigation concerns, including:
  • Investigations
  • Litigation support
  • Data collection and analysis

We advise clients on lessons learned from these experiences and perform root cause analyses and post-event remediation, including designing frameworks to mitigate the risk of future events occurring.