Posts Categorized: Fraud Accounting

For the “Can’t Believe it Happened” File

Posted by & filed under Accounting Information Systems, Accounting Principles, Advanced Accounting, All Articles, Auditing, Cost Accounting, Ethical Dilemma, Financial Accounting, Fraud Accounting, Intermediate Accounting, International Accounting, Managerial Accounting, Uncategorized.

Alleged postal thief mastermind Dushaun Henderson-Spruce orchestrated the theft of thousands of pieces of mail from a global corporation, including corporate American Express cards, business checks and invoices, and rerouted them halfway across the country. Questions: 1. How did he do it? 2. How long did the scheme last? 3. What internal control could have… Read more »

Dog Rescue

Posted by & filed under Accounting Principles, Auditing, Cost Accounting, Ethical Dilemma, Financial Accounting, Fraud Accounting, Intermediate Accounting, International Accounting, Managerial Accounting, Uncategorized.

According to the Washington Post, an effort that animal rescuers began more than a decade ago to buy dogs for $5 or $10 apiece from commercial breeders has become a nationwide shadow market that today sees some rescuers, fueled by Internet fundraising, paying breeders $5,000 or more for a single dog. Questions: 1. Why do… Read more »

Mesh Lawsuits

Posted by & filed under Accounting Information Systems, Accounting Principles, Advanced Accounting, All Articles, Auditing, Cost Accounting, Ethical Dilemma, Financial Accounting, Fraud Accounting, Intermediate Accounting, Managerial Accounting, Uncategorized.

This New York Times article exposes a growing industry that makes money by coaxing women into having surgery — sometimes unnecessarily — so that they are more lucrative plaintiffs in lawsuits against medical device manufacturers. Questions: 1. What is the role of lawyers in this industry? 2. What is the role of marketers in this… Read more »

DMX’s attorney cannot persuade the judge to go light on the tax fraud

Posted by & filed under Accounting Information Systems, Accounting Principles, All Articles, Auditing, Cost Accounting, Ethical Dilemma, Financial Accounting, Fraud Accounting, Income Taxes, Managerial Accounting, Video Updates.

Rapper DMX’s attorney played the rapper’s song “Slippin’” during his sentencing on Wednesday to help the musician express his struggles, but it was not enough to convince a judge to let the rapper off the hook. Instead DMX got 1 year in prison for tax fraud. Questions: 1. According to court records, how long did… Read more »

The Top Frauds of 2017

Posted by & filed under Accounting Information Systems, Accounting Principles, Advanced Accounting, All Articles, Auditing, Cost Accounting, Ethical Dilemma, Fraud Accounting, Income Taxes, Intermediate Accounting, Managerial Accounting, Uncategorized.

Monica Vaca, the Associate Director of the Division of Consumer Response and Operations at the Federal Trade Commission (FTC) just released the results from last year regarding the top frauds of 2017. Topping the list of reported frauds are the imposter scams, with nearly 350,000 reported. Questions: 1. How many people fell for someone pretending… Read more »

Big Time Food Stamp Fraud

Posted by & filed under Accounting Information Systems, Accounting Principles, Advanced Accounting, All Articles, Auditing, Cost Accounting, Ethical Dilemma, Financial Accounting, Fraud Accounting, Income Taxes, Intermediate Accounting, Managerial Accounting, Uncategorized.

Sheriff Mike Williams of Jacksonville, Florida, announced Tuesday the results of a multi-agency, undercover investigation into the exchange of Supplemental Nutrition Assistance Program (SNAP) benefits for cash and, in at least one case, cocaine. Questions: 1. From 2012 to 2017, how many food stamp transactions were fraudulent in Jacksonville and what was the dollar amount?… Read more »

Massive Fraud Femme Fitale

Posted by & filed under Accounting Information Systems, Accounting Principles, Advanced Accounting, All Articles, Auditing, Cost Accounting, Ethical Dilemma, Financial Accounting, Fraud Accounting, Intermediate Accounting, International Accounting, Managerial Accounting, Uncategorized, Video Updates.

  According to Masunaga and Peterson, four years ago, the Silicon Valley firm Theranos Inc. was valued at $9 billion and its founder and Chief Executive Elizabeth Holmes was hailed as a potentially revolutionary force in the blood-testing industry. Today, she is deemed a fraudster. Questions: Theranos’ proprietary analyzer could only perform __________ of the… Read more »

It’s just for my stockholders

Posted by & filed under Accounting Information Systems, Accounting Principles, Advanced Accounting, All Articles, Auditing, Cost Accounting, Ethical Dilemma, Financial Accounting, Fraud Accounting, Income Taxes, Intermediate Accounting, Managerial Accounting, Video Updates.

Martin Shkreli, a former pharmaceutical executive notorious for increasing the price of Daraprim by 5,000 percent, along with mounting sneering defenses of his actions and even issuing a bounty for one of Hillary Clinton’s hairs, was sentenced to seven years in prison for fraud.   Questions: What had prosecutors sought for a sentence? What had… Read more »

Stepping over a line: Legitimate collection or legal harassment on student loans?

Posted by & filed under Accounting Principles, Advanced Accounting, All Articles, Auditing, Cost Accounting, Financial Accounting, Financial Reporting and Analysis, Financial Statement Analysis, Fraud Accounting, IFRS, Intermediate Accounting, International Accounting, Managerial Accounting.

The agency charged with monitoring such student loan bankruptcy declarations is facing concerns that its tactics have grown ruthless. Bankruptcy experts say that the group is wasting judicial resources because it brings legal challenges to those few who are desperate enough to seek bankruptcy relief. Questions: 1. What is the name of this agency? Which… Read more »

More worries at Wells Fargo

Posted by & filed under Accounting Information Systems, Accounting Principles, Advanced Accounting, All Articles, Auditing, Cost Accounting, Ethical Dilemma, Financial Accounting, Fraud Accounting, Intermediate Accounting, Managerial Accounting, Video Updates.

As the third-largest bank continues to suffer under a sales scandal that happened in 2016, Wells Fargo & Co detailed new regulatory restrictions imposed by the U.S. Federal Reserve. This news sent its shares down sharply in after-hours trading. Questions: 1. What are the growth restrictions on the bank imposed by the Feds? 2. Why… Read more »