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Accounting News Roundup | 12.08.11

Corzine: 'I Simply Do Not Know Where The Money Is' [WSJ]
Much of the day's testimony is likely to focus on a significant shortfall in customer funds at MF Global. As Mr. Corzine scrambled to stabilize the firm in its last days, it was discovered that hundreds of millions of dollars were missing in customer accounts. The trustee overseeing MF Global's liquidation estimates the amount at $1.2 billion. Mr. Corzine will say in his testimony that he had little to do with the mechanics of moving customer cash and collateral and that he was "stunned" when he learned on Oct. 30 that the money was missing. "I simply do not know where the money is," he will say, noting that "there were an extraordinary number of transactions during MF Global's last few days."

Olympus Sets Aggressive Stance in Accounting Probe [WSJ]
"It's not yet entirely clear" whether and how many of those people were involved, Olympus President Shuichi Takayama said Wednesday. The company also will continue to monitor probes by police, prosecutors and securities regulators, he said. "If it's possible to make a decision [on whether to take legal action] based on the information we already have, we will," he said at a Tokyo news conference. Mr. Takayama said the company is considering holding an extraordinary shareholders meeting as early as February, at which point its entire board, including Mr. Takayama, likely would resign. "I cannot say that will happen for sure, but I think the chances are high," he said.

E&Y sets up external panel to probe Olympus audit  [Reuters]
Ernst & Young ShinNihon LLC said it has conducted an internal review of its Olympus audit and believes there were no problems, but decided to seek an external opinion given the scale of attention on the scandal. "The impact of this incident on society has been large. It is a problem we are taking very seriously," Kaoru Kashima, an executive board member at Ernst & Young ShinNihon, told reporters on Thursday.

Ex-Marvell Accountant Ng Pleads Guilty in Insider Probe [BBW]
Stanley Ng, a former Marvell Technology Group Ltd. accountant, pleaded guilty to participating in an insider-trading scheme involving so-called expert networking firms. Ng, who was charged in a nationwide crackdown on insider trading, pleaded guilty today to a single count of conspiracy to commit securities fraud and wire fraud before U.S. District Judge Jed Rakoff in Manhattan.

Auditors barred for life over Satyam scandal [Accountancy Age]

The Institute of Chartered Accountants of India (ICAI) has barred Pulavarthi Siva Prasad and Chintapatla Ravindernath after finding them culpable of "serious gross negligence…in the discharge of their duties as audit team members" for Satyam statutory audits between April 2001 and September 2008.

Val Kilmer 'Top Gun' again with IRS, state [Tax Watchdog]
Ice Man owes $566k to the Feds and California.

World's oldest dog dies in Japan at 26 [LAT]

Pusuke, a Shiba mix, survived being hit a car when he was 23 but it was his refusal to eat in his final days that finally did him in.
Posted in ANR