Posts Tagged: regulators

Fraud Disgorgement by SEC Ruled OK

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

In an 8-to-1 decision, written by Justice Sonia Sotomayor, the court said the money must be for the benefit of investors and cannot exceed the actual profits that came from the wrongdoing.  Questions: Which justice voted against the majority saying that the law does not give authority to the SEC for the practice of disgorgement?… Read more »

Regulators Got their Eyes on You!

Posted by & filed under Accounting Information Systems, Accounting Principles, All Articles, Auditing, Cost Accounting, Financial Accounting, Financial Reporting and Analysis, Income Taxes, Intermediate Accounting, International Accounting, Managerial Accounting, Uncategorized, Video Updates.

According to the New York Times, Big Tech (Amazon, Apple, Facebook and Google) are being investigated by regulators and lawmakers regarding how these companies may have used their size and wealth to quash competition and expand their dominance. Questions: Who are some of the regulators and lawmakers investigating Google and for what reason? What are… Read more »

No cash allowed

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

In Sweden, “No cash accepted” signs are becoming an increasingly common sight in shops and eateries across the country as payments go digital and mobile. Questions: 1. Why is going cashless bad for tax cheats? 2. Why are authorities in Sweden worried about the cashless society? 3. What percent of Swedes never use cash? 4…. Read more »

A new “capital” buffer

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According to Reuters, the Federal Reserve will seek significantly more capital from the largest U.S. banks and give some relief to smaller banks as it considers reforms to its annual ‘stress test. Questions: 1. What is a stress test? 2. How will the proposed reforms mean different things depending on the size of the bank?… Read more »

Prepaid Card Scrutiny – No more “under the radar”?

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

When prepaid cards started out, they were basically simple gift cards from retail stores. Since that time they have become popular financial-management tools, rivaling bank checking accounts. Because of this, regulators have plans this fall to bring the sector under greater scrutiny. Questions: 1. How much is expected to be loaded on prepaid cards this… Read more »

Plan Ahead

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

According to the Washington Post, five of the country’s largest banks, including JPMorgan Chase and Bank of America, still do not have credible plans for winding down their operations without taxpayer help if they start to fail. Questions: 1.How long do these banks have to submit their detailed bankruptcy plans to requlators? 2. What are… Read more »

Investigating Integrity

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A U.S. watchdog agency is preparing to investigate the Federal Reserve and other regulators in order to determine whether they are too lenient on the banks they are meant to police. Questions: 1. What is the strategy to be used in this investigation? 2. Explain the “revolving door” concept that the article mentions. 3. What… Read more »

Deloitte Fined and Banned: Accounting Firm Botches Consulting Engagement Dealing with Bank Regulatory Problems

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, Uncategorized.

Deloitte was hired by Standard Chartered, a British bank, to independently spot suspicious money transfers routed through its New York branches. However, as the consultants, a final report submitted to state regulators was watered down, indicating misconduct by Deloitte and a lack of autonomy for Standard Chartered’s illicit transfers of billions of dollars on behalf… Read more »