The failure of the ASCs to inspect returned sets properly and their falsification of inspection records suggest serious problems in the control environment of PCL. Structurally, the after-sales service team is responsible for overseeing the ASCs, but the after-sales team does not report to the TV division. Rather, it reports to the general manager of PCL's sales division, who oversees numerous product categories. PCL may want to consider reorganizing such that the after-sales teams for the ASCs report directly to the TV division.