accounting fraud News

Jailed Ex-Wirecard CEO Files Lawsuit Against Chubb to Get D&O Coverage

Markus Braun, the former chief executive officer of scandal-ridden Wirecard AG who has been in jail for almost a year, sued insurance giant Chubb Ltd. to make it pick up his legal bills, people familiar with the case said. Braun, …

Ex-Deloitte Auditor Faces Disciplinary Action for Improper Audit of S. Africa’s Steinhoff

An ex-Deloitte LLP partner is facing disciplinary action in the Netherlands for an improper audit of Steinhoff International Holdings NV prior to the South African retailer’s near collapse more than three years ago. The Dutch Authority for the Financial Markets …

China Launches 1st Class-Action Lawsuit as Regulators Vow to Fight Accounting Fraud

SHANGHAI – China launched the country’s first class-action lawsuit against a listed company on Friday, targeting Kangmei Pharmaceutical Co, as regulators vowed “zero tolerance” against accounting fraud and other capital markets “tumors.” The China Securities Investor Service Centre (CSISC), a …

Steinhoff International’s Insurers Agree to Pay $93 Million for Directors’ Liability Claims

Most of the insurers that provided Steinhoff International Holdings NV with director-liability policies have agreed to pay as much as 78.1 million euros ($93 million) toward legal settlements resulting from a 2017 accounting crisis. The bulk of the money will …

S. Africa’s Steinhoff in Talks with D&O Insurers to Help Settle Accounting Crisis Claims

Steinhoff International Holdings NV is in talks with the providers of director liability insurance policies about help settling legal claims resulting from a 2017 accounting crisis that took the South African retailer to the brink of collapse. An agreement with …

Former Wirecard Executive Marsalek Placed on Interpol’s Most Wanted List

Former Wirecard AG executive Jan Marsalek was added to Interpol’s red notice list, sparking a worldwide manhunt for one of the executives allegedly at the center of a multibillion-euro accounting scandal at the fintech company The move alerts police worldwide …

Germany to Reform Regulation of Insurers, Banks, Payment Firms on Wirecard Scandal

German Finance Minister Olaf Scholz intends to unveil a reform of the government’s financial oversight, as the widening scandal over the collapse of Wirecard AG reaches the highest levels of Chancellor Angela Merkel’s government. Scholz’s 16-point “action plan” would install …

South Africa Retailer Steinhoff Offers $1B to Settle Global Accounting Fraud Lawsuits

South Africa’s Steinhoff has proposed to pay around $1 billion to settle outstanding legal claims following a massive accounting fraud, a fraction of the over 9 billion euros ($10.5 billion) claimants are seeking. The announcement sent its shares up over …

German Prosecutors Arrest Ex-Wirecard Execs on Suspicion of Running Criminal Racket

German prosecutors arrested three former top executives of Wirecard on Wednesday, saying it suspected them of masterminding a criminal racket to fake the company’s accounts and bilk creditors of billions of euros. Former Chief Executive Markus Braun, already a suspect, …

Wirecard Hires Forensic Investigator, Say Sources. Findings Could Aid in D&O Litigation.

German payments company Wirecard has hired Alix Partners for a forensic investigation of the accounting scandal that led to its collapse, people close to the matter said. The blue-chip company filed for insolvency last month, owing creditors almost $4 billion …