IRS Commissioner Daniel Werfel said Monday in a letter to leaders of the Senate Finance Committee that the agency would renew its effort to crack down on predatory (or bad) preparers. Questions: Source: Weil, J. (2023). IRS vows to crack down on predatory preparers, change audit strategy. The Washington Post, Sep. 18 (Retrievable online at… Read more »
Posts Categorized: Fraud Accounting
Would you Take a Chance on Fyre Festival 2?
According to the New York Times, Billy McFarland is out of jail and selling tickets to Fyre Festival 2. Questions: Bernstein, J. (2022). Billy McFarland Is Out of Jail and Ready for His Next Move. The New York Times, September 14 (Retrievable online at https://www.nytimes.com/2022/09/10/fashion/billy-mcfarland-release.html) Zahn, M. and L. Barr. (2023). Fyre Festival 2 tickets… Read more »
Judge Vacates Conviction for Bribery Fraud Regarding Lucrative Rights To View Soccer Tournaments
According to the New York Times, Hernán López, a former Fox employee, and an Argentine sports marketing company had been convicted of participating in a bribery scheme to secure rights to widely viewed soccer tournaments. Now an acquittal. Questions: Meko, H. and K. Bensinger. (2023). Judge Vacates Convictions in Bribery Case Over Soccer Broadcast Deals…. Read more »
Rite Aid – A Rocky Road Ahead
According to CNN, Rite Aid shares slid lower as the pharmacy chain prepared bankruptcy filings this week while dealing with lawsuits over the sale of opioids. Questions: Source: Goodkind, R. (2023) Rite Aid stock is experiencing extreme turbulence: Here’s why. CNN, August 28 (Retrievable online at https://www.cnn.com/2023/08/28/investing/rite-aid-stock-bankruptcy/index.html)
It’s Called the “Urban Doom-Loop”
With more people working remotely, companies are rethinking their plans to sign leases on business buildings in downtown areas all over the U.S. Questions: Source: Siegel, R. (2023). How the ‘urban doom loop’ could pose the next economic threat. The Washington Post, Aug. 28 (Retrievable online at https://www.washingtonpost.com/business/2023/08/28/commercial-real-estate-economy-urban-doom-loop/)
Ponzi Schemer Resurfaces
According to the New York Post, a Colorado conman who escaped from a federal prison in Colorado in 2018 was rearrested in Florida, living in a luxurious $1.5 million mansion. Questions: Source: Reyes, R. (2023) Colorado conman who escaped fed prison caught living lavishly in $1.5M Florida mansion. The New York Post, Aug. 3 (Retrievable… Read more »
Albemarle purports to have violated Foreign Corrupt Practices Act (FCPA)
According to the Wall Street Journal, well-known chemical manufacturer, Albemarle, reached an agreement in principle with U.S. authorities to pay a $218.5 million fine to resolve an investigation into potential improper payments by third-party sales representatives. Questions: Source: Tokar, D. (2023). Albemarle to Pay $218.5 Million to Settle Foreign Bribery Probe. The Wall Street Journal,… Read more »
Fraudster’s Home Depot Scam Snagged!
According to the Associated Press, a Connecticut man was given nearly $300,000 in fraudulent Home Depot credit by walking into stores in several states, loading expensive doors into a lumber cart in one department of the store and then returning them to the customer returns department of the same store without a receipt. Questions: Source:… Read more »
IRS Tackles The Latest Scam
According to Accounting Today, the Internal Revenue Service will be adding extra procedures to deter scammers who have been inundating the agency with bogus claims for the Employee Retention Credit. Questions: Source: Cohn, M. (2023) IRS plans new measures to curb Employee Retention Credit fraud. Accounting Today, July 26 (Retrievable online at https://www.accountingtoday.com/news/irs-plans-new-measures-to-curb-employee-retention-credit-fraud?)
Newest “Old School” Scam
The IRS is warning about a new scam that targets your bank account using an old-fashioned mailer. Questions: Source: Tanner, J. IRS warns taxpayers of new ‘unclaimed refund’ scam – here’s how it works. The Hill, July 8 (Retrievable online at https://thehill.com/homenews/nexstar_media_wire/4085938-irs-warns-taxpayers-of-new-unclaimed-refund-scam-heres-how-it-works/