Difference between revisions of "Accounting fraud"

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Former SEC Chair Mary Jo White [https://www.sec.gov/news/testimony/testimony-white-oversight-sec-06-14-2016.html emphasized] that [c]omprehensive, accurate, and reliable financial reporting is the bedrock upon which our markets are based, and is essential to ensuring public confidence in them.” As such, the SEC has increased the number of enforcement actions for accounting fraud and other accounting violations, including:
Former SEC Chair Mary Jo White [https://www.sec.gov/news/testimony/testimony-white-oversight-sec-06-14-2016.html emphasized] that [c]omprehensive, accurate, and reliable financial reporting is the bedrock upon which our markets are based, and is essential to ensuring public confidence in them.” As such, the SEC has increased the number of enforcement actions for accounting fraud and other accounting violations, including:


=='''<u>Improper Revenue Recognition</u>'''==
'''<u>Improper Revenue Recognition</u>'''


According to a [https://www.sec.gov/news/studies/sox704report.pdf Report Pursuant to Section 704 of the Sarbanes-Oxley Act of 2002], during the five years preceding the enactment of SOX, the “SEC brought the greatest number of actions [involving issuer financial-report violations] in the area of [https://www.zuckermanlaw.com/report-improper-revenue-recognition-sec-whistleblower-award/ improper revenue recognition:] 126 of the 227 enforcement matters involved such conduct, including the fraudulent reporting of fictitious sales, improper timing of revenue recognition, and improper valuation of revenue.” The following enforcement actions are examples of improper revenue recognition schemes that could qualify for an SEC award.
According to a [https://www.sec.gov/news/studies/sox704report.pdf Report Pursuant to Section 704 of the Sarbanes-Oxley Act of 2002], during the five years preceding the enactment of SOX, the “SEC brought the greatest number of actions [involving issuer financial-report violations] in the area of [https://www.zuckermanlaw.com/report-improper-revenue-recognition-sec-whistleblower-award/ improper revenue recognition:] 126 of the 227 enforcement matters involved such conduct, including the fraudulent reporting of fictitious sales, improper timing of revenue recognition, and improper valuation of revenue.” The following enforcement actions are examples of improper revenue recognition schemes that could qualify for an SEC award.