U.S. Securities and Exchange Commission

The Effects of Fraud: The Case of Sino-Forest and Ernst & Young In today’s global economy, investors must rely on information provided by the various companies listed on the stock exchanges in order to determine if a company is a good investment, or a poor one. In order to make informed decisions, investors want to see financial statements that have been proven to be correct; they do not want to risk losing the amounts they have invested if they were to choose to invest in a company that was not

The Global Financial Crisis of 2008: Can Dodd-Frank Help? The Financial Crisis of 2008 became an experience that the American people will not forget any time very soon. The country took a direct hit to the financial sector during the crisis due to several changes that had taken place. Banks and financial investment companies were two of the many types of businesses that suffered. The consumers began to be fearful when it came to working with banks and financial investment companies. As a result

The analysis of financial statements is the critical process that is aimed at assessing the present and past financial position and the results of operations that are carried out in a company. The primary objective of this analysis is to establish the best possible estimates and predictions about future results and conditions that the company can reach. It is based on two primary pieces of knowledge, where the first is the in-depth knowledge of the accounting model and the second would be the domain

comparisons between companies would be difficult. Numerous accounting bodies govern the accounting environment and accommodate the success of a business. The four main financial governing bodies include the following: • Securities and Exchange Commission (SEC) • Financial Accounting Standards Board (FASB) • Governmental Accounting Standards Board (GASB) • International Accounting Standards Board (IASB)

information is false can be awarded criminal penalties of $1 million in fines and 10 years in prison. If the reports were used in a larger fraudulent scheme the penalties increase to $5 million in fines and 20 years in prison. The Securities and Exchange Commission (SEC) is adopting a rule to adjust for the inflation on the maximum amount of civil monetary for certain penalties under the SOX Act. The SEC is requiring federal agency to adopt new regulations at least once every four years. A civil

members of the PCAOB or Public Company Accounting Oversight Board which are part of the Sarbanes-Oxley ACT. This act of 2002 "has been called by many the most far-reaching U.S. securities legislation in years." This act means that now, all companies is required to file periodic reports with the Securities and Exchange Commission (SEC). The act also has new duties for reporting and corporate obligation with fines and penalties for non-compliance (Simon, 2009). In addition to all of this, the board

Bernard L. Madoff Investment Securities LLC operates as a securities broker/dealer in the United States and internationally. It provides executions for broker-dealers, banks, and financial institutions. The company was founded in 1960 and is headquartered in New York, New York. As of December 15, 2008, Bernard L. Madoff Investment Securities LLC is in liquidation. Madoff founded the Wall Street firm Bernard L. Madoff Investment Securities LLC in 1960 Bernard Madoff was born on April 29, 1938, in

Fannie Mae case. Federal regulators noted a growing string of high profile scandals at major U.S. corporations in recent years. The number of fraud cases investigated by the Securities and Exchange Commission jumped 41 percent in the last three years (112 cases in 2001 compare to 79 cases investigated in 1998), resulting in tens of millions of dollars in fines to settle the charges. I have decided to take a closer look at Fannie May. This company operates in the residential mortgage finance industry

party justifiably relied upon the information in its decision concerning the transaction involved or one substantially similar to it. Moreover, auditors owe duty to anyone whom s/he should have reasonably foreseen would rely on the misrepresentations (U.S. Legal.org)”. Most accountants' third-party liability is defined by case law. A few states have passed statutes organizing the common law. For example, Kansas adopted legislation that takes a different approach to an accountant's liability. “For

the outcome for those held responsible for the ponzi scheme. The organisation, time and place Bernard L. Madoff Investment Securities LLC operates as a securities broker/dealer in the United States and internationally. It provides executions for broker-dealers, banks, and financial institutions (Bloomberg, n.d).Bernard Madoff founded Bernard L. Madoff Investment Securities LLC in 1960 at the age of 22 (The New York Times, 2009). The company had two offices in New York and London. Madoff revealed