A Rogue Trader at Societe Generale Roils the World Financial System

correct staff payments , legislative requirements accurate invoicing ,correct production recording , accurate stock holdings ,re-order level monitoring , audit requirements

Make management formally recognize and accept responsibility not only for the financials, but also for the internal control system.

The system should also allow users to access the network from anywhere as long as they can verify authenticity. The system should also be able to prevent brute force attacks. The system should also make it possible for admins to see suspicious activity. Overall the components in the system should work as intended, to ensure top notch reliability and availability.

With every internal control weakness a company needs to identify either a control policy or control procedure that will help prevent error or fraud from occuring in the future. Based on my suggestions as to what weaknesses existed at Goodner Brothers, Inc. I have suggested the policies or procedures that could be implemented to help prevent future issues. The internal control I would implement to hinder employee access to the accounting system would be to secure all computer programs with individual usernames and passwords to prevent access from others. The bookkeeper should be the only employee with access to the accounting system and to test this procedure the company would need to try and access the software without a username and password. To monitor the storage warehouse situation, the company should install computer scanning systems and video cameras at each location to supervize whether tires are being scanned in and out upon delivery and pick-up and to determine who and when these transactions are taking place. Semi-annual reviews should be conducted by sales managers to evaluate their sales representative. In addition, strengthening the tone at the top mentality should lie in the hands of each owner by personally reviewing all sales managers to create a top down effect.

Data protection and confidentiality; by making sure that all information and important documents are locked away and that you have passwords on the computers and not leaving them unattended without logging off first.

Basically, there are several issues should be taken into account before pursuing the outcome of the decision proposed by Deatherage, the General Manager. The imbalanced residual earning returns had extensively occurred in the cooperative as they retuned average annual profits’ payments to the patrons

Hire and train more staff, retrain the old staff, provide regulatory and policy guideline and security of job. Restore working conditions including overtime and health insurance.

Fraud in the financial community is consistently hidden in "style." Since its beginnings in the "great depression," to now, "the great recession" fraud has undoubtedly taking many forms and styles. Subsequently, many non suspecting patrons have been severely damaged as result of this greed and corruption. Many of America's largest and most established individuals are not exempt from this form of style manipulation. As we will soon see, many individuals, including Bernie Madoff, have both the ability and incentive to commit fraud. In today's fast paced information age, fraudulent activities are now becoming more difficult to detect, and even more difficult to prove. To begin, I believe it necessary to show how fraud has affected our current economic state. I will then venture as to the means in which Bernie Madoff committed fraud and the implications on current business prospects.

Financial reporting in the recent years through the SEC mandates has become one of the most important aspects to corporate management. Stamford International's problem is inherent in the discrepancy in reporting system and accounting irregularities from the various aspects of the business. Not only has this but Stamford, due to rapid growth not been able to accommodate for the expansionary activities like acquisitions of units and international transactions. The result has been the experience of loss in earnings-per-share. In the following analysis, the researcher thus will outline some of the problems that Stamford should address and resolve accordingly to be able to post a positive quarterly report and remain compliant with the

Management structure should be relooked and possibly restructured. The management structure that is currently in place is not conducive to the work function that it oversees. Before the problem can be fully understood it is important that the players and their positions be clarified.

In both developed and underdeveloped economies, there is a need to put regulations which ensure that profits are not abnormally earned at the expense of the innocent clients. It is therefore the mandate of the territorial authorities to put in place measures that introduce checks and balances in all trades. The respective companies or business must also follow the same suit lest they find themselves in the crossroads of law. However,

The company entered into dubious transactions, especially with Doug Mather. This helped contribute to the cash flow problems. The company needs to avoid these transactions in the future.

Based on the case given, the bank controllers were only instructed to monitor the net trading positions, but not the Dalta One traders’ gross exposure. The bank controllers did not inform their supervisors when they had noticed that Kerviel’s transactions were irregularities which involved an abnormally high amounts in his transactions as that was not the specifically part of their job. Thus, Kerviel able to use his knowledge of the company control procedures to hide his fake trades with his false documents and emails.

2. Hire a management team to replace or train existing employees about the individual departments so that all business is handled in a professional manor and stay organized.

The company problem is they using chaos system and it is difficult for the admin to estimate their profit. With the new system developed, the company can manage their inventory data easily, quickly and more secured.