Posts tagged "Accounting fraud"

AIG Accounting Fraud: No Admissions, Big Fines, Bad Ethics

The former Chief Executive Officer of AIG, Maurice Greenberg and his co-defendant, Howard Smith, AIG’s former chief financial officer, reached a settlement with the State of New York in a case of accounting fraud.

The case, which took more than 10 years to adjudicate ended with the two executives agreeing to fork over $9.9 million in performance bonuses. It sounds impressive until we understand that the state had sought more than $50 million and the executives refused to admit to fraud.

The executives were accused of participating in deals aimed at fooling investors into investing in the AIG company, one of the world’s leading insurance leaders.  Accounting fraud comes in many forms.  At the settlement, the State of New York stated:

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Posted by Chuck Gallagher in Accounting Ethics and tagged , , ,

Accounting Fraud: Do You Know What Your Internal Accounting Staff is Doing?

Accounting fraud is dangerous and something that Amy Hilty, 38, formerly of Stanley, N.C. and now residing in  Dalton, Ohio, pleaded guilty to stealing nearly $400,000 from her former employer.  Hilty pleaded to one count of wire fraud and one count of tax evasion.

Accounting FraudThe background:

From 2008 to 2012, Hilty was employed as accounting manager for a company located in Huntersville, N.C.  As the company’s accounting manager, Hilty’s responsibilities included preparing the company’s financial statements, maintaining QuickBooks, preparing payroll and making bank deposits.  According to court records, Hitly used her access to the company’s accounting system to divert company funds to bank accounts she controlled.  This is accounting fraud at its most basic.

The Cover Up:

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Posted by Chuck Gallagher in Financial Fraud, Fraud Pure and Simple, IRS Tax Issues, Tax Fraud and tagged , , , ,

Former CFO of Healthsouth Aaron Beam Interviewed by Chuck Gallagher Business Ethics Expert

“Ethics First” is the primary message former CFO of Healthsouth Aaron Beam conveys to his audiences. His experience with Healthsouth and the research he’s done about ethics in American business, qualifies him to deliver this compelling story and  message to any organization, group or classroom that values ethical behavior, and the process of achieving it.

Aaron BeamAaron Beam’s story is “the untold story of HealthSouth”, one of America’s most successful health care companies and subsequently the perpetrator of a $2.8 B accounting fraud, one of the largest in American history.

Here’s Aaron Beam in his interview with Chuck Gallagher – President of the Ethics Resource Group and business ethics expert.

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Posted by Chuck Gallagher in Straight Talk Radio and tagged , , , , ,