Rio Tinto Group is formed as a double-quoted company, listed on both the London Stock Exchange, under the name Rio Tinto Plc, as the Australian Securities Exchange, under the name of Rio Tinto Limited. The structure of double-quote given to shareholders of the two companies the same proportional economic interests and ownership rights in the consolidated Rio Tinto Group, so
Executive Summary This report examines the existence of trends in the Australian share market with respect to the effect of profit announcements in the mining industry; specifically the effect on BHP Billiton. The price index of BHP Billiton and two of its competitors, namely Rio Tinto and Fortescue Metals Group, on the Australian Stock Exchange has been recorded for 3 weeks before and 3 weeks after a profit announcement in order to facilitate an investigation into investor behaviour following the
that was established by John Barbuto in 1974 in Australia. In 2000, the company was purchased by private equity bankers, with the aim of expanding the company nationally. They went public in 2003 and the company’s shares were floated on the Australian Stock Exchange. The public company, JB Hi-Fi, is a reporting entity which is defined in SAC 1, as those that are expected to have users who depend on the entity’s general purpose financial reports for information that will be useful for making and evaluating
prosecutors in the state still use in cases of possible deception by large financial entities. The Martin Act has commonly been described as one of the broadest mandates against securities fraud as state prosecutors are required only to prove that a company misrepresented or omitted material information in offering securities, but not that the company had an intent to deceive. The statue can bring about both civil and criminal charges. In the early 2000s, then New York Attorney General Eliot Spitzer
At the age of 20, Barry Minkow executed a con so risky, that some accounting and business schools teach it as a case study. He founded ZZZZ Best Carpet & Furniture Cleaning Co., Inc. when he was just 16 years old, operating out of his parent’s garage (Parloff, 2012). Then he franchised it into a chain and finally took it public. On paper, he was worth $100 million dollars. He drove a Ferrari and even appeared on Oprah Winfrey, upping himself and his stock. “Think big, be big.” is what Barry
are anything which comes under $5. Many investors don’t think of these penny stocks as there are some $5 stocks which are trading on bog exchanges. Many individual investors look at penny stocks like Wall Street’s Wild West, which is a natural world of investing but lately separated from media coverage that come up with stocks that are trades on big exchanges. Gaining and loosing is a part of penny stock world. Penny stocks are also full of drama – just because they are not discussed by media,
defendant firm and litigation time. Karpoff, Lee, and Martin (2008) examine firms targeted by the SEC between 1978 and 2002 and document that the average monetary fees equal $23.5 million. McTier and Wald (2011) document gross (net) settlements in securities class actions of $58.4 million ($103.5 million). Sometimes penalties assigned to the defendant firms include legal expenses suffered by the plaintiffs. For example, in a case of class actions, the cumulative compensation paid to the class members
The History of Auditing Abstract The evolution of auditing is a complicated history that has always been changing through historical events. Auditing always changed to meet the needs of the business environment of that day. Auditing has been around since the beginning of human civilization, focusing mainly, at first, on finding efraud. As the United States grew, the business world grew, and auditing began to play more important roles. In the late 1800’s and early 1900’s, people began to invest
Apple is one of the famous companies in the world top. With many strategies and good design are launched each quarter market attracts thousands of consumers. Today, Apple leads the world in innovation with iPhone, iPad, Mac, Apple Watch and Apple TV. Apple’s four software platforms — iOS, OS X. For all these enterprises the general as well as all the large and small companies in particular, issues an annual financial report is extremely important. There for, Apple is also not in exception. However
One of the most recent stories involving white-collar crimes in the United States involves the Wells Fargo. Wells Fargo is banking and a financial institution that offers financial services to very many people in the United States as well as around the world. As reported by the Washington Post, Wells Fargo as banking and a financial institution was involved defrauding its customers millions of dollars through their employees. It was reported that the employees were involved in the opening of close
Nirav Modi is an Indian jeweler who is the founder of Nirav Modi global diamond jewelry house. In 2018, he has been accused of a $1.8 billion/Rs 11,400 crore fraud case and is being investigated into by the Central Bureau of Investigation in India. According to reports, it is said that Modi has been accused of colluding with certain employees working in Punjab National Bank to issue letters of undertakings which would help him become eligible for loans from other banks. A letter of undertaking is
affected by the security breach, I was very disappointed in how Target handled the situation. If I was one of the individuals that the breach happens to, I would like to be told of the breach right away, so I could have notified my bank, credit card companies, and put a warning of fraud to all three credit reporting agency. Implications for Target Security Breach On December 19, 2013, Target Corporation released a statement, informing the world that their network has encountered a security breach, and
1B Fraud is defined as someone try to act with intention to cheat other people in order to acquire an unfair or illegal advantage. The fraud happens due to management override the internal control of the organisation and fraud will affect the financial reporting. The main categories of fraud that can affect financial reporting are fraudulent financial reporting and misappropriation of assets. The fraudulent financial reporting is the information in financial statement that will misleading, omission
EPS of $5.11. Retrieved May 19, 2014, from http://news.walmart.com/news-archive/investors/2014/02/20/walmart-reports-q4-underlying1-eps-of-160-fiscal-2014-underlying1-eps-of-511 Wal-Mart Stores, Inc. Form 10-K (2014, March 21). NYSE, New York Stock Exchange > Listings > Listings Directory Wal-Mart Stores, Inc.. Retrieved May 18, 2014, from http://secfilings.nyse.com/filing.php?doc=1&attach=ON&ipage=9482653&rid=23 Wild, John J. (2012): Financial Accounting: Information for Decisions
selection in this project. This report highlights the accounting and non-accounting frauds conducted within these organizations and analyses the reasons for their collapse. 3 CASE STUDY 1 – THE BERNARD MADOFF SCHEME (2008) Bernard L. Madoff Investment Securities (BLMIS) LLC was the largest ever Ponzi scheme in the history of the U.S. In December 2008, BLMIS collapsed when Madoff was arrested after he admitted to have been involved in a Ponzi scheme for decades (Benson & Chumney, 2011, pp. 274). The Global
the court decision In 1971, Gordon individually filed a suit against the New York Stock Exchange (NYSE) and several other member firms of the Exchanges, arguing that the fixed commission rate NYSE and other exchanges adopted violated federal antitrust laws*. The District Court stated that the fixed rate commissions were immunized from antitrust laws because it’s under the authority of the Securities and Exchange Commission (SEC). The Second Circuit Court of Appeals upheld. Gordon then appealed to
2.6 Hypothesis Development 2.6.1 Board of Directors Independence Hypothesis Both Beasley (1996) and Uzun et al (2004) demonstrated that larger proportion of independent non-executive directors on the board for US listed companies could reduce the likelihood of corporate fraud. These findings indicate that independent directors are more likely to represent shareholders’ interests. Thus, higher proportion of independent non-executive directors on the board could increase board’s effectiveness as a
management through the historical results, financial condition and the going forward management statement and disclosure, which should provide useful information (p.293). I completely agree of the author’s point of view regarding the challenges that a defense counsel could face to protect its clients based on the ambiguities and complexities of the revenue recognition standards. The abundance of accounting principles, standards, laws, policies and regulations from different standard-setting bodies
prosecutors arrested long time employees of Madoff Investment Securities. They were put on trial for allegations of conspiracy of fraud. The biggest deception comes from about the time of the 1987 crash. Madoff wanted to improve his returns after the downturn. This led to his giant Ponzi scheme where he was able to accumulate vast amounts of money and offering no returns. Initially he used his other business, Madoff Investment Securities LLC. He also had “a non-social situational aspect that contributed
Martha Stewart was charged with securities fraud, obstruction of justice, conspiracy, and civil charges. She had made false statements to F.B.I., SEC, and investors. She withhold information from these organizations about the selling of her stocks with in the company of ImClone. She was convicted and sentence to five months in prison, five months of house arrest, and a full two years of probation. White Collar Crime The Martha Stewart case is consider a white collar crime. Due to the fact, Ms.