accountants liability News

4 Trends to Watch in Professional Liability for Accountants

There’s no shortage of accountants in the United States today, and the growth of this industry is not expected to slow anytime soon. In 2013, there were 1.17 million accountants and auditors and 1.59 million bookkeeping, accounting and auditing clerks …

Judge Allows $1B Malpractice Claim Against PwC Over MF Global Collapse

A federal judge on Wednesday rejected PricewaterhouseCoopers’ request to dismiss a $1 billion lawsuit accusing the auditor of providing bad accounting advice that contributed to the October 2011 collapse of MF Global Holdings Ltd, a brokerage run by former New …

Great American, Landy Agency to Offer Professional Liability Insurance

Great American Insurance Group’s Professional Liability Division has formed an alliance with the Herbert H. Landy Insurance Agency to offer professional liability insurance to real estate agents, brokers, appraisers and accountants. This new program will be available in all states, …

Class Action Suits Against Accountants Declined in 2012

Fewer class-action lawsuits alleging accounting improprieties were filed last year in the United States, but those that were settled in 2012 carried a higher price tag, according to a study from Cornerstone Research. As two major trends driving accounting class …

General Star Expands Accountants Program into Pennsylvania

General Star Management Co. has expanded its admitted accountants professional liability program into Pennsylvania. Pearl Insurance, headquartered in Peoria, Ill., has served as the exclusive program manager for the General Star facility in 28 other states and now adds Pennsylvania. …

General Star Enhances Accountants Professional Liability Program

General Star Management Co. has made a series of revisions to the policy for its accountants professional liability program. Available exclusively via program administrator Pearl Insurance, the product is currently available in 28 states. The coverage is written on an …

Ernst & Young Sued for $900M Over Madoff Audits

Ernst & Young LLP has been sued for $900 million by the liquidators of a fund that once funneled money to the now-imprisoned swindler Bernard Madoff. The lawsuit, filed on behalf of M-Invest Ltd, accused Ernst & Young of negligence, …

Accounting Firm Sued for $7.6B, Accused of Missing Lender Fraud

Deloitte Touche Tohmatsu Ltd , the world’s largest accounting and consulting firm, was accused Monday of failing to detect fraud during its audits of one of the biggest private mortgage firms to collapse during the U.S. housing crash. A trust …

U.S. Judge Allows Shareholder Suits Against China Accountants

The fourth time was the charm for shareholders suing the auditors of Shenzhen-based China Expert Technology. China Expert shareholders have been trying unsuccessfully to sue the company’s accounting firms for failing to detect an alleged $132 million fraud. U.S. District …