Accounting Scandal
Updates and Other Fraud Between April 1 and June 30, 2021
Bob Jensen at
Trinity University
Bob Jensen's Enron Quiz (and answers) --- http://faculty.trinity.edu/rjensen/FraudEnronQuiz.htm
Bob Jensen's Enron Updates are at --- http://faculty.trinity.edu/rjensen/FraudEnron.htm#EnronUpdates
Other Documents
Scandal Updates --- http://faculty.trinity.edu/rjensen/fraud.htm#ScandalUpdates
Bob Jensen's Enron Quiz --- http://faculty.trinity.edu/rjensen/FraudEnronQuiz.htm
What's Right and What's Wrong With SPEs, SPVs, and VIEs --- http://faculty.trinity.edu/rjensen//theory/00overview/speOverview.htm
Bob Jensen's Summary of Suggested Reforms --- http://faculty.trinity.edu/rjensen/FraudProposedReforms.htm
Revenue Accounting Controversies --- http://faculty.trinity.edu/rjensen/ecommerce/eitf01.htm
Electronic Business Controversies --- http://faculty.trinity.edu/rjensen/ecommerce/000start.htm
Bob Jensen's Bottom Line Commentary --- http://faculty.trinity.edu/rjensen/FraudConclusion.htm
The Virginia Tech Overview: What Can We Learn From Enron? --- http://faculty.trinity.edu/rjensen/fraudVirginia.htm
Fraud References --- http://faculty.trinity.edu/rjensen/fraud.htm#References
Fraudulent Dealer
Tricks: An Interactive DHTML Illustration ---
http://faculty.trinity.edu/rjensen/FraudDealerTricks.htm
This includes a summary of ten unethical tricks of the trade by automobile
dealers.
Selected Scandals in the Largest Remaining Public Accounting Firms --- http://faculty.trinity.edu/rjensen/fraud.htm#others
Accounting Education Shares Some of the Blame --- http://faculty.trinity.edu/rjensen/FraudProposedReforms.htm#AccountingEducation
Bob Jensen's
Fraud Updates ---
http://faculty.trinity.edu/rjensen/FraudUpdates.htm
My Latest Web Document
Over 700 Examples of Critical Thinking and Illustrations of How to Mislead With
Statistics ---
http://faculty.trinity.edu/rjensen/MisleadWithStatistics.htm
FTC says consumers have
reported losing more than $80 million to crypto-investment scams since October
2020 ---
https://www.wsj.com/articles/crypto-frauds-target-investors-hoping-to-cash-in-on-bitcoin-boom-11623058380?mod=djemCFO
Retirement accounts at risk
of cybertheft ---
https://www.nbcchicago.com/consumer/sleeping-giant-thieves-target-retirement-accounts/2518741/#content
2021 Video Link on Scam Protection (Forwarded by Tina)
Jim Browning (his alias) is a software expert who spends time in the evenings thwarting scammers. The article is a real eye opener, his work is outstanding and has aided in arrests and/or shutdowns as well as being able to stop a scam in its tracks while aiding the victim-to-be.
He has a Youtube website that you may be interested in checking out:
https://www.youtube.com/channel/UCBNG0osIBAprVcZZ3ic84vw
He lists the following as "Today's Hot Frauds"
1- ZOOM Phishing
2 - Covid-10 Vaccine Card Cons
3 - Fake Online Shopping Sites
4 - Celebrity Impostor Jackpots
5 - Online Romance Ambush
6 - Medicare Card Come-Ons
7 - Cash-Transfer App Swindles
8 - New Social Security Scams
9 - "Account Problem" Text
His 4"Takeaways" are:
1 - Let calls from strangers go to voicemail
2 - Simply delete suspicious pop-ups or phone messages (one thing you can try if you get pop-ups that concern you, is to power your computer off, wait a few seconds, then restart)
3 - If on the phone, ask for info in writing, then hang up
4 - Do not allow anyone remote access to your home computer and don't download software unless you are absolutely sure it is from a reputable source
NEVER let them get your money in any form!
IRS updates annual Dirty Dozen tax schemes for 2020 ---
https://www.journalofaccountancy.com/news/2020/jul/tax-scams-irs-dirty-dozen-2020.html?utm_source=mnl:cpald&utm_medium=email&utm_campaign=20Jul2020
Bob Jensen's threads on fraud
reporting ---
http://faculty.trinity.edu/rjensen/FraudReporting.htm
Bob Jensen's Fraud Updates ---
http://faculty.trinity.edu/rjensen/FraudUpdates.htm
Prison Sentence for College
Employee for Wire Fraud ---
Click Here
Unemployment Fraud Has
Soared in the Pandemic. Here's What to Do ---
https://www.wsj.com/articles/unemployment-benefits-fraud-has-soared-in-the-pandemic-heres-what-to-do-11619688601?mod=djm_dailydiscvrtst
One if the huge problems is that data breaches like the huge Blue Cross data
breach put millions of social security numbers in the hands of criminals.
Another problem is that people out of work who are not eligible for unemployment
benefits think that stealing unemployment insurance is a right rather than a
privilege.
The Increasing Threat of
Identity Theft ---
https://www.osc.state.ny.us/reports/increasing-threat-identity-theft?utm_source=weekly
news&utm_medium=email&utm_term=fiscal
oversight&utm_content=20210516&utm_campaign=identity theft§ion=feature
Indictment for Wire Fraud in
Student Aid Scheme ---
Click Here
The Role of Accounting in Ponzi
Schemes
Stephen Deason ; Shivaram Rajgopal ; Gregory B. Waymire ; Roger M. White
Accounting Horizons (2021) 35 (1): 29–46.
https://doi.org/10.2308/HORIZONS-19-016
Do accounting reports bolster investors' trust? We examine this question by modeling the incremental effect of Ponzi scheme operators providing accounting reports on the magnitude and lifespan of the underlying fraud. This investigation is possible in our setting because some, but not all, Ponzi scheme operators provide discretionary accounting reports (like falsified financial statements or fictional audit opinions) to current and potential investors. We observe that falsified audit reports lower the likelihood of regulatory detection by about 40 percent, and falsified accounting statements increase individual investor contributions by about 30 percent. Together, these results indicate that accounting reports bolster investors' trust, and that fraudsters can exploit trust in accounting institutions to maximize gains and minimize the likelihood of detection, even when accounting misrepresentations are not necessary.
How to Mislead With Statistics
New York algebra fact of the
day ---
https://marginalrevolution.com/marginalrevolution/2020/06/new-york-fact-of-the-day-2.html
Take here in New York, where in 2016 the passing rate for the Regents Examination in Algebra I test was 72 percent. Unfortunately, this (relatively) higher rate of success does not indicate some sort of revolutionary pedagogy on the part of New York state educators. As the New York Post complained in 2017, passing rates were so high in large measure because the cutoff for passing was absurdly low — so low that students needed only to answer 31.4 percent of the questions correctly to pass the 2017 exam.
Walter A. Williams: The Nation's Report Card
How are K-12 schools doing under President Trump versus
President Obama?
https://townhall.com/columnists/walterewilliams/2020/05/06/the-nations-report-card-n2568167?utm_source=thdaily&utm_medium=email&utm_campaign=nl&newsletterad=05/06/2020&bcid=b16c6f948f297f77432f990d4411617f&recip=17935167
Jensen's Comment
Most K-12 schools were probably doing better when I was a child than they're
doing today. The downhill slide is greatest in the gang-ridden schools,
drug-infested urban schools like Chicago and New Orleans. Throwing money at such
schools is not the answer until life at home recovers. Finland
knows this, which is why Finland's dads spend more time with school children
than the moms or the teachers.
https://www.theguardian.com/lifeandstyle/2017/dec/04/finland-only-country-world-dad-more-time-kids-moms
Michigan lawyers charged in alleged fraudulent debt-collecting scheme ---
https://www.foxnews.com/us/michigan-lawyers-charged-in-fraudulent-debt-collecting-scheme
SAP Admits to Violating the Law
---
https://www.wsj.com/articles/sap-admits-iran-sanction-violations-to-justice-department-11619726149?mod=djemCFO
Software company SAP SE admitted it provided millions of dollars in software to Iran in violation of U.S. sanctions, becoming the first company to benefit from a Justice Department program that encourages firms to self-report criminal export violations in exchange for leniency
International Journal of Marketing & Financial Management, Volume 4, Issue 9, Dec-2016, pp 53-68
SSRN
16 Pages Posted: 24 Apr 2021
https://papers.ssrn.com/sol3/papers.cfm?abstract_id=3826780
affiliation not provided to SSRN
affiliation not provided to SSRN
Debre Tabor University
Date Written: December 16, 2016
Scandals are often the “tip of the iceberg”. They represent the "visible‟ catastrophic failures. An attempt is made in this paper to examine in-depth and analyze India‘s Enron, Satyam Computer‘s “creative-accounting” scandal. Their scandal/fraud has put a big question mark on the entire corporate governance system in India. In public companies, this type of 'creative‘ accounting leading to fraud and investigations are, therefore, launched by the various governmental oversight agencies. The accounting fraud committed by the founders of Satyam in 2009 is a testament to the fact that ―the science of conduct is swayed in large by human greed, ambition, and hunger for power, money, fame and glory. Scandals have proved that ―there is an urgent need for good conduct based on strong corporate governance, ethics and accounting & auditing standards. Unlike Enron, which sank due to 'agency‘ problem, Satyam was brought to its knee due to 'tunneling‘ effect. The Satyam scandal highlights the importance of securities laws and CG in emerging markets. Indeed, Satyam fraud ―spurred the government of India to tighten the CG norms to prevent recurrence of similar frauds in future. Thus, major financial reporting frauds need to be studied for 'lessons-learned‘ and 'strategies-to-follow‘ to reduce the incidents of such frauds in the future. The increasing rate of white-collar crimes ―demands stiff penalties, exemplary punishments, and effective enforcement of law with the right spirit.
Keywords: Corporate accounting scandal, Satyam Computer India, Corporate governance, Accounting and auditing standards
Suggested Citation:
Sharma, Rajshree and Gupta, Shivani and Kumar, Bhupendra, Satyam Computer Scam – Pre and Post Diagnosis (December 16, 2016). International Journal of Marketing & Financial Management, Volume 4, Issue 9, Dec-2016, pp 53-68 , Available at SSRN: https://ssrn.com/abstract=3826780
Ex-White House Adviser
Charged With Stealing From Charter Schools ---
Click Here
Two foreign energy companies are set to make millions by deceiving residents
of Maine ---
https://www.foxnews.com/media/us-largest-forests-danger-tucker-carlson-originals-exposes-green-energy-scam-maine-corrupt
Two students at Middle
Tennessee State University stole over $114,000 from the school’s Somali Student
Association and Muslim Student Association ---
https://www.campusreform.org/article?id=17240
How copyright filters lead to wage-theft ---
https://pluralistic.net/2021/05/08/copyfraud/#beethoven-just-wrote-music
Current and past editions of my blog called Fraud Updates --- http://faculty.trinity.edu/rjensen/FraudUpdates.htm