Please ensure Javascript is enabled for purposes of website accessibility
February 2, 2023

Accounting News Roundup: ‘Special Skills in Accounting’ and Rent Expense Puzzles | 05.02.18

accounting news amazon target

Ex-Autonomy CFO Convicted of Massive Fraud [CFO]
Sushovan Hussain used his “special skills in accounting” for good instead of evil, essentially duping HP into buying Autonomy.

[P]rosecutors presented evidence that Hussain used backdated contracts, round-trips, channel stuffing, and other forms of accounting fraud to inflate Autonomy’s publicly-reported revenues by as much as 14.6% in 2009, 17.9% in 2010, 21.5% in the first quarter of 2011, and 12.4% in the second quarter of 2011.

Hussain’s lawyer said his client would appeal and expressed dismay “that the United States Department of Justice lent its support to HP’s campaign to blame others for its own catastrophic failings.”

WeWorked to solve a rent-accounting puzzle [FT]
If you enjoyed WeWork’s accounting gymnastics last week, you’ll love this FT Alphaville column that goes further into the weeds on the company’s straight-lining rent adjustment. An adjustment, Alexandra Scaggs writes, that even causes the extra-lenient, company’s never-been-heard-of “community adjusted Ebitda” metric to be negative.

Apple Says It Will Buy Back $100 Billion in Stock [NYT]
Thanks, tax cuts! “No company has ever done stock buybacks like Apple. In the most recent quarter, Apple repurchased $23.5 billion in stock — the largest single stock buyback ever.”

Previously, on Going Concern…

Megan Lewczyk wrote about the IRS’s legacy systems.

In Open Items, someone wonders if they should apply to two different jobs at the same firm.

From the archives: Life in Public Accounting: Expectations vs. Reality

In other news:

Get the Accounting News Roundup in your inbox every weekday by signing up here.

See something we missed? Have a tip, correction, comment, or complaint? Email us at [email protected].

Latest Accounting Jobs--Apply Now:

Have something to add to this story? Give us a shout by email, Twitter, or text/call the tipline at 202-505-8885. As always, all tips are anonymous.

Related articles

a dog wearing VR

Monday Morning Accounting News Brief: Deloitte on Microtransactions; More EY Split Roadblocks; Have You Become Irritable? | 11.28.22

Happy Monday! Here’s some stuff that’s going on. Several US audit firms told the Financial Times that they had elevated some or all of their crypto-related clients to the status of “high risk”, triggering a more thorough audit that will take longer and lead to higher bills; some clients could ultimately be dropped altogether. KPMG […]

woman working on a laptop with a dog beside her

Monday Morning Accounting News Brief: The Leadership Void; KPMG Gets Fined (Again); PwC Ups Leave | 10.3.22

Deloitte launches Global Sustainability & Climate learning program that aims to enhance skills and capabilities of Deloitte people to help address a global societal challenge. Dubai’s financial regulator has provisionally fined KPMG and one of its former partners $2 million over the firm’s auditing of Abraaj, the emerging markets private equity group that collapsed in […]