When accounting goes unaccounted for
Your winner after the jump:
“EY reimbursed me for this dress with the money that would have been used to pay your bonus”
With nearly 75% of the vote. A landslide of Iranian proportions. The rest:
• Two more Deal or No Deal rejects reenact their failed auditions for the cameras – 11%
• The sun never sets on a badass. – 9%
• To help lower the deficit, the Secret Service started selling ad space on the President’s “football” – 5.5%
Is money all you people care about?
Do you have a mother-in-law? How well do you get along with her? Not good, huh? Whatever differences you may have, surely it’s not this bad:
When a former son-in-law in Illinois failed to settle an asserted loan by his ex-mother-in-law to her satisfaction, she gave up on collecting but issued a 1099-C reporting the amount as debt forgiveness income.
Ex-Son-in-Law took it badly, and fought back. He sued Ex-Mom, claiming that because she wasn’t required to issue a 1099-C, it was fraudulent for her to do so.
Borrowing money from your mother-in-law, let alone your ex-mother-in-law is not what we would consider a good life decision. Jesus, especially if you’re a deadbeat. We understand that times are tough but hey, next time around he’ll know.
So this guy is in a tough spot. Solution? Sue her for fraud, of course! The judge in the case said someone issuing an unnecessary 1099 did not constitute fraud so the son’s only remedy now is to argue that the contents of said 1099 were fraudulent. Good luck with that, man. You’re finished.
A Victory For Bitter Ex-Mother-In-Laws Everywhere [Tax Update Blog]
London’s ExCeL Centre was packed to the rafters today with almost 4,000 would-be accountants sitting their ACCA (the Association of Chartered Certified Accountants) exams in Corporate Reporting, Financial Reporting and Preparing Taxation Computations. The exams are part of ACCA’s global exam series, with an estimated 73,806 students taking these exams around the world today.
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Why are the proctors dressed like riot police?
Having never been part of a PCAOB investigation, we’re not able to attest to the uncomfortable violated feeling one must have when you have a government foot soldier crapping all over your work.
That being said, if you can at least make an argument for your shoddy work, you’ve got something to throw at them. The same cannot be said when you have no discernible argument whatsoever that will allow you to look yourself in the mirror and call yourself an auditor.
Enter Moore & Associates and its President, Michael J. Moore:
Poor auditing, after the jump
After M&A registered with the Board in October 2004, Moore began auditing
the financial statements of public companies for the first time in more than ten years.
Over the next three years, M&A accepted nearly 300 public audit engagements, with
Moore serving as the auditor with final responsibility on each of them. Respondents
added new clients at a nearly exponential rate while the audit staff was comprised of
inexperienced staff members overseen by one professional. M&A staffed the audits
with assistants who had no accounting or auditing education, experience or training.
These unqualified audit assistants planned and executed the audits with little or no
supervision from Moore.
So, you’re back in the audit game after a ten years on the bench and you really don’t have the resources to pay anyone that has any accounting background. Not being one to shy away from adversity, you go out and find whatever warm bodies you come across at the Greyhound station. Eventually you get the call that the PCAOB is on to your little game and you’ve got to think that the jig is up.
Nah. Keep rolling with it:
Respondents also failed to cooperate with the Board’s investigation…Respondents created false work papers that did not accurately reflect the work performed on the relevant audits and produced those false work papers to the Board’s Division of Enforcement and Investigations. Moore also falsely testified that these work papers produced by Respondents were true and accurate audit work papers completed during the audit, when he knew they were not.
Nothing like going down in flames. For his incredibly diligent dishonesty and disregard for the PCAOB’s rules, Moore has been banned to the CPA darkness.
Moore & Associates, Chartered, and Michael J. Moore, CPA (8/27/2009) [PCAOBUS.org]