Nov 2, 2020 | Accounting Frauds
Raytheon Technologies Corp.’s financial accounting is being investigated by the U.S Department of Justice (DOJ)in a criminal probe! The company has received a criminal subpoena seeking information and documents related to financial accounting, internal controls...Oct 28, 2020 | Accounting Topics, General, News
Two senior executives, CEO Ramachandran Ottapathu and Executive Director Ismail Farouk, at Botswana supermarket chain Choppies Enterprises Ltd. are suing former auditors PwC for 653 million rand (~$40 million) for not signing off on the company’s 2018 accounts, which...Oct 28, 2020 | Accounting Frauds
The Securities and Exchange Commission accused SAExploration Holdings (SAE) of perpetrating a $100 million accounting fraud that involved routing payments through shell companies so it appeared to be legitimate revenue. According to the complaint, the former CEO and...Sep 27, 2020 | Accounting Frauds
The SEC announced that Herbalife Nutrition has agreed to pay $67 million to settle charges it violated the books and records and internal accounting controls provisions of the Foreign Corrupt Practices Act (FCPA). A director at SEC said that the company’s...Sep 23, 2020 | Accounting Frauds, General
When it rains it pours! Aurora Cannabis announced earlier in the month that the company was going to have over $1.8 billion in write downs in their fourth quarter and full year financial statements. They announced in a quite press release that the company had...Sep 3, 2020 | Accounting Frauds, General, News
Super Micro Computer, Inc concluded their settlement with the United States Securities and Exchange Commission (SEC), resolving an investigation into the Company’s financial accounting and disclosures for fiscal years 2014-2017. The company has already corrected for...Sep 3, 2020 | Accounting Frauds, Accounting Topics, General, News
The Wirecard fraud has cost EY a new customer! Deutsche Bank’s asset-management division, DWS, that went public in 2018 has decided to no longer use EY as its auditor. The reason being that DWS is concerned about getting involved in the potential lawsuits against the...Aug 10, 2020 | Accounting Frauds
Not all is well in the world of Under Armour. The company, its former CEO, Kevin Plank and CFO David Bergman recently received a Wells Notice from the SEC. The notice is related to the company’s use of “pull forward sales” practices (customer sales...Jul 13, 2020 | Accounting Topics
Recently I was involved in a stock repurchase and wanted to share my understanding. A couple of scenarios: An ex-employee had exercised her options a few years ago, company decides to buy back the stock at a price higher than what the employee paid. How do we account...May 4, 2020 | Accounting Frauds
The Xiamen city based Coffee company, Luckin Coffee, reportedly overstated their sales numbers from April-September 2019 by ~$300 million (or 2.2 billion yuan); which represented the bilk of their reported sales number. The company is conducting an internal...