Suchergebnisse

• eBook-Kapitel aus dem Buch Accounting Fraud

  Case 12: Enron (2001)

  Prof. Dr. Klaus Henselmann, Dr. Stefan Hofmann

  …become synonymous with corporate malfeasance. However, compared to other accounting frauds, the Enron fraud was very complicated; it involved many… …reports. They didn’t have to lie. All they had to do was to obfuscate it with sheer complexity – although they lied, too.” The impact of the fraud was… …far-reaching, to say the least. It led to the bankruptcy of the once high-flying energy company in late 2001, marking one of the biggest corporate failures in… …since October 1929”. Besides, the fraud ushered in a wave of prosecutions against white-collar crime at the highest levels of American business, and it… …originated a strong reaction (possibly an overreaction) from the regulatory bodies as well. Thus, it is of great importance to understand what actually… …business model: create a “gas bank” in which Enron would buy gas from a network of suppliers and sell it to customers, contractually guaranteeing both the… …outside the United States. The market endorsed Enron’s “new economy” business strategy. In 2000, Enron reported revenues of USD 101 billion, making it… …of these negative developments, it is quite astonishing that by the end of the year, Enron’s image was in tatters and its stock price had plummeted… …(primarily for the water and broadband businesses). It also disclosed a mysterious USD 1.2 billion reduction in shareholder equity, mainly as a result of the… …reversal of dealings with certain off-balance-sheet partnerships, called “the Raptors” (October 16). - Enron announced that it had changed plan…

  Alle Treffer im Inhalt anzeigen
• eBook-Kapitel aus dem Buch Accounting Fraud

  Fraud Theories

  Prof. Dr. Klaus Henselmann, Dr. Stefan Hofmann

  …Fraud Case Analysis: Lessons Learned 276 3.3 Fraud Theories 3.3.1 The Fraud Triangle Although it is common knowledge today that people… …may commit fraud, it is often not understood why they do it. Donald R. Cressey, one of the pioneers in fraud re- search, came to the conclusion that… …less rationalization it takes to motivate someone to commit a fraud. Likewise, the more dishonest a person is, the less opportunity or the less… …pressure it takes to motivate fraud. Fraud-fighters focus their preventive efforts primarily on only one of the three elements of the fraud triangle… …simply in the outcome. Scientists call this motivation the “ego challenge”: it relates to the sense of superiority over others and to the gratification… …obtained from the mastery of an exciting situation. It also reflects the pride of a professional “con artist”. Attitudes are the values and ethical… …honest all the time. Another 20% are basically dishonest, and about 60% are “situationally honest” (that is, honest where it pays to be honest and… …dishonest where it pays to be dishonest). However, most of the organizations are convinced that their executives are among the 20% who are honest. Unfortu-… …nately, quite frequently, this is not the case. Rationalization is how the fraudster justifies his inappropriate actions. In other words, it is the… …soon as we get over this financial difficulty.” – “Business is business. Everybody else does it.” Of course, there are countless other…

  Alle Treffer im Inhalt anzeigen
• eBook-Kapitel aus dem Buch Global Management Challenges for Internal Auditors

  Company Culture is Worth the Cost

  Sergey Martynov

  …if it is not included in financial reports, and helps to generate value for a company: it should therefore be audited, just like all other company… …than those caused by unfair competition or mass- media hostility. First of all, it is important to understand that company culture is a distinctive… …guaranteeing success and in the effi- ciency of a business, for various reasons. Firstly, it results in increased employee loyalty towards the company. A… …salary increase. 2 Development of Company Culture While in some organisations company culture is created and grows spontaneously, in others it is… …beliefs, come from various different entities. In these situations it is extremely im- portant for the management to make an effort to rapidly develop a new… …can be positive, but the process of establishing a com- pany culture by example may take a long time. It is extremely important, however, for the… …in order for this to happen it must know how to satisfy the individual needs of its employees. The management must also know how to value its workers… …employees, who will cer- tainly not share or defend its values as a result. It is also extremely important to en- sure that there is a relationship between… …, and it is es- sential that each member of the team feels that he is sharing in the recognition for his work. The development of company culture is… …it: it is therefore a factor that should be taken into consideration by the internal audit, just like all other signifi- cant company processes…

  Alle Treffer im Inhalt anzeigen
• eBook-Kapitel aus dem Buch Accounting Fraud

  Case 6: Bausch & Lomb (1994)

  Prof. Dr. Klaus Henselmann, Dr. Stefan Hofmann

  …with a strong position in the optical products and eye-care sector. It was a leading manu- facturer of contact lenses and sunglasses, and it had charmed… …contact lenses, which were marketed to be worn for short intervals of several days. Bausch & Lomb had entered the disposable lens market late because it… …had not wanted to cannibalize existing product lines, and it wished to continue to maximize its traditional SVS sales. Unfortunately, during 1993, it… …optical practitioners. In September 1993, the CLD concluded a particularly aggressive promotion campaign whereby it sold its distributors a large amount… …estimates indicated that it might take some dis- tributors up to two years to sell the SVS lenses that CLD management was expect- Accounting Fraud in U.S… …US- GAAP, with respect to revenue recognition. Under GAAP, revenue should not be recognized in company statements until it is realized and earned… …date. The accounting scandal led to the departure of several CLD executives, and it severely tested inves- Accounting Fraud in U.S. Companies 53… …After the scheme was discovered, company management replaced all Hong Kong personnel that it held responsible for the fraud. There was no evidence that…

  Alle Treffer im Inhalt anzeigen
• eJournal-Artikel aus "Zeitschrift Interne Revision" Ausgabe 4/2010

  Trojaner ante Portas

  IT-Sicherheit auch in Krisenzeiten nicht vernachlässigen!
  

  Prof. Dr. habil. Günter Janke

  …wird häufig auch die IT nicht ausgenommen, ist diese doch oft ein beachtlicher Kostenfaktor. Aber die Vernachlässigung der IT-Sicherheit ist gerade in… …manchmal auch die Insolvenz. Im Folgenden soll (zumindest schlaglichtartig) aufgezeigt werden, durch welche Angriffsformen und -methoden die IT- Sicherheit… …, müssen diese insbesondere vor internetbasierten Angriffen vermittels IT geschützt werden. Forschungs- und Entwicklungsergebnisse, Technologie- und… …auch für das einzelne Unternehmen. Diese manifestiert sich vor allem darin, dass die rasante Entwicklung der IT, die Kommunikation, Interaktion und… …Sicherheitsleitlinie erarbeitet wird, die mindestens drei Aspekte beinhaltet 24 : Ermittlung des Schutzbedarfs insbesondere im IT- Bereich als zentraler… …Informationen existieren, deren Diebstahl unternehmensexistenzgefährdend sein könnte und zentrale Aufgaben ohne funktionierende IT nicht realisierbar sind… …Netzwerke genauso verboten ist, wie privates „Internet-Surfen“ am Arbeitsplatz. Zugangsberechtigungen sowohl zum Unternehmen als auch zum IT- Netzwerk (von…

  Alle Treffer im Inhalt anzeigen
• eBook-Kapitel aus dem Buch Accounting Fraud

  Case 7: Waste Management (1997)

  Prof. Dr. Klaus Henselmann, Dr. Stefan Hofmann

  …scandal that is far more than just a financial history lesson. It portrays a multiyear effort to inflate reported profits at Waste Management, Inc. (WMI)… …, using fraudulent accounting practices that allowed the company to hide about USD 1.7 billion in expenses from 1992 through part of 1997. It also… …client”. It indicated that WMI actively managed re- ported results, had a history of making significant fourth quarter adjustments, and was in an industry… …later described it as a “boondoggle”. Obviously lacking auditor independence, Andersen had too cozy a relationship with WMI. Eventually, Andersen… …Ander- sen’s willingness to bend on such issues was a result of the fees it was receiving from WMI. Andersen had actually quantified the misstatements and… …had annually presented company management with what it called “Proposed Adjusting Journal Entries” (PAJEs) to correct the misstatements. But WMI… …equipment”; then, it depreciated these costs over forty years) – avoided depreciation expenses on their garbage trucks by assigning unsup- ported and… …those assumptions, keeping the revi- sions hidden from the subsidiaries. “Keeping the process secret and centralizing it made it especially easy for top…

  Alle Treffer im Inhalt anzeigen
• eBook-Kapitel aus dem Buch IT-Unterst?tzung f?r Interne Revision und Wirtschaftspr?fung

  Ausblick

  Dr. Heinrich Schmelter

  …unvollständigen Kenntnisse der IT bzw. ihrer Potenziale bei Revisoren und IR-/WP-Leitern. In den IR weitgehend üblich ist inzwischen der fallweise Einsatz von… …einge- setzt werden können. – Hinsichtlich des in diesem Buch propagierten Einsatzes von IT- Standardanwendungen können die jeweiligen IR-Abteilungen und… …systematischen IT-Anwendung in IR und WP muss deren Ein- satz aber insbesondere von den IT- und WP-Leitern umfassend eingefordert und massiv unterstützt werden… …ternettechnologie zu nennen: Über das Internet ist es möglich, auf Daten und IT- Anwendungen auch von IR und WP weltweit von jedem Ort aus zuzugreifen. Bei der… …systematischen IT-Anwendung in IR und WP muss der IT- Einsatz aber insbesondere von den IT- und WP-Leitern umfassend eingefor- dert und massiv unterstützt werden…

  Alle Treffer im Inhalt anzeigen
• eJournal-Artikel aus "Zeitschrift Interne Revision" Ausgabe 6/2010

  Der Einsatz von Feedback-Fragebögen in der Internen Revision

  Erfahrungen eines Revisionsleiters
  

  Hans-Ulrich Westhausen

  …Revision Informationstechnologie Beratung Prüfung Training Fon +49 2133 217 266 Mobil +49 151 15 53 60 09…
• eJournal-Artikel aus "Zeitschrift Interne Revision" Ausgabe 1/2010

  Das "Katalogsystem" - Strukturierung der Prüffelder im Projektsteuerungssystem (Portfolio-, Programm- und Projektmanagement sowie deren Methoden und Standards)

  Bestimmung der Prüfungsinhalte im Projektsteuerungssystem durch eine an systematischen Ordnungskriterien ausgerichtete Auswahl der Prüffelder
  

  Diplomkaufmann Robert Düsterwald

  …. nimmt das PCO auch noch weitere Funktionen wie das Setzen von IT Qualitätsstandards war. Diese zählen dann allerdings begrifflich nicht zur Prüfung des…
• eBook-Kapitel aus dem Buch Accounting Fraud

  Chapter 4: Conclusion and Outlook

  Prof. Dr. Klaus Henselmann, Dr. Stefan Hofmann

  …, relatively infrequent in occurrence), and it must be shocking (that is, counter to our norms and values). Wilson argued that the public pays little attention… …sible for fighting fraud, one inevitable reality remains: “fraud happens”. It is a given that economic crime will always be with us. Eliminating fraud is… …a super- human task. However, a review of the scandals shows that in most of the cases, it is basically the same common pattern. A company faced… …. Often it starts as a one-shot deal to meet short term fi- nancial expectations. But it escalates to ongoing fraudulent activity until, with some… …accounting fraud can be summarized as follows (see Young 2004, pp. 11–13): 1. It generally doesn’t origin from conscious dishonesty. It doesn’t start… …because the CEO is dishonest, or because the CFO is dishonest. It also doesn’t start because the company had the misfortune of hiring a group of dishonest… …employees in its accounting department. 2. It origins from pressure. In particular, it starts with an environment in which two things are present… …: challenging targets of financial performance, and the perception that missing these targets will be viewed as unforgivable. 3. It starts out small. The… …fraud starts with little alterations of results (typically in the form of borrowing from future quarters). It doesn’t start with a grand plan or… …conspiracy. Often, the one or two perpetrators don’t even realize that they are stepping over the line and might be violating accounting standards. 4. It…

  Alle Treffer im Inhalt anzeigen