accounting fraud News

Wirecard Probe Expands with Arrest of Head of Dubai-Based Subsidiary

BERLIN/FRANKFURT – German prosecutors said on Monday they had arrested the head of a Dubai-based subsidiary of Wirecard, widening the circle of suspects in a multi-billion-dollar fraud investigation into the collapse of the payments company. The Munich prosecutor’s office said …

UK Accounting Watchdog Asks Big Four to Ring-Fence Audit Practices

The UK dominant accounting firms must separate their audit units from other businesses by June 2024 as the country’s accounting watchdog reacts to shortcomings that led to the collapse of several companies. The Financial Reporting Council is asking the so-called …

From Enron to Wirecard – Big 4 Accounting Firms Still Face Systemic Problems

Two decades of financial disasters from Enron Inc.’s collapse in 2001 to Wirecard AG’s meltdown have left the Big Four accounting firms facing a major cultural problem that regulators may struggle to resolve. The 1.9 billion euros ($2.1 billion) missing …

Allianz Ends Relationship with Wirecard Amid Accounting Scandal

Allianz said on Wednesday that it was ending its relationship with Wirecard Bank and removing from the market a mobile payment app that the two companies had developed. The move is further fallout in corporate Germany amid an accounting scandal …

SoftBank May Sue Wirecard Accountant EY; EU Probes Germany’s Regulator

The European Union is investigating Germany’s financial regulator over the collapse of payments company Wirecard in a rare move that heaps embarrassment on Berlin days before it is due to take over the EU’s rotating presidency. Wirecard’s implosion on Thursday, …

Former CEO of Wirecard Arrested in Accounting Scandal Involving Missing $2.1 Billion

FRANKFURT – Wirecard’s former boss was arrested on Tuesday on suspicion of falsifying accounts, after the German payments firm disclosed a $2.1 billion financial hole and questioned whether trustees had actually held money on its behalf. Markus Braun turned himself …

British Accountants Under Pressure to Do More to Detect Fraud at Companies

British accountants could be required to look for fraud at companies they audit under proposals made in a government-backed review of recent corporate scandals which went undetected. Lawmakers called for a shake-up of auditing after the collapses of construction company …

South African Retailer Steinhoff to Sell Assets After $7B Accounting Fraud

Scandal-hit South African retailer Steinhoff said on Tuesday its only hope for survival is to sell off assets to become a retail-focused investment holding firm, as it fights to contain the fallout of a $7 billion accounting fraud. The company …

Ex-CEO, 7 Other Execs Blamed for $7.4B Accounting Fraud at S. Africa Retailer Steinhoff

Former Steinhoff Chief Executive Markus Jooste and seven others were involved in a 6.5 billion euro ($7.4 billion) accounting fraud at the South African retailer, the new CEO said told lawmakers on Tuesday. Steinhoff said on Friday an independent report …

Accounting Fraud Pushes UK’s Patisserie Valerie into Insolvency

U.K. entrepreneur Luke Johnson’s efforts to save Patisserie Valerie failed as an accounting scandal pushed the bakery chain’s parent into insolvency, threatening as many as 2,800 jobs on Britain’s beleaguered shopping streets. Patisserie Holdings Plc appointed KPMG as administrator after …