Ten Publicized Audit Failures - 1655 Words

AFM 201 – Part 1 Auditing Fall 2007 Group Assignment 2 Publicized Cases of Alleged Audit Failures Involving Large Public Companies 1) Ten Publicized Audit Failures i. Parmalat (2003) - Deloitte Touche Tohmatsu /Grant Thornton Misleading investors with â€Å"Brazen Fraud† was what the United States (US) Securities and Exchange Commission (SEC) had sued Parmalat for in 2003. It all began when Parmalat defaulted on a bond payment worth $185 million. This raised a flag for auditors and banks, which then began to closely examine company accounts. According to Parmalat, 38% of their assets were apparently held in a Bank of America account, part of a subsidiary of Parmalat in the Cayman Islands, worth $4.9 billion dollars. This was later†¦show more content†¦Income was overstated by $1 billion by the time investigations got moving. The SEC fined Arthur Andersen part of the $229 million for shareholder settlement and $7 million for issuing artificial and misleading reports. vi. WorldCom (2002) - Arthur Andersen Audited by Arthur Andersen, WorldCom went under investigation by the SEC for accounting fraud. Not only was cash flows overstated by booking $3.8 billion in operating expenses as capital expenses, $400 million was given to Bernard Ebbers, the CEO, in off-the-book loans. WorldCom stunned Wall Street with additional improperly booked funds total to $3.4 billion bringing a total restatement of $7.2 billion. WorldCom was prosecuted by DOJ, SEC, US Attorneys Office for the Southern District of New York and various congressional committees. vii. Enron (2001) - Arthur Andersen Enron headed by Ken Lay, also audited by Arthur Andersen was charged by the DOJ, SEC and various congressional committees. In this case, both the auditor and the company were charged. Enron boosted profits and covered over $1 billion in debts by inappropriately using off-the-books partnerships, while manipulating power markets and bribing foreign governments for contracts abroad. In essence, Enron took advantage of lenient regulations to defraud consumers and investors. While Enron was being charged with fraud, money laundering, securitiesShow MoreRelatedThe Fraud Triangle Theory By Donald Cressey2250 Words   |  9 Pagesterminated workers, overstating employees working hours, and fictitious expenditure fraud. The existence of external fraud is not as common as internal fraud but could be inform of: †¢ Fraudulent billing by vendors: This involves double billing, failure to deliver purchases, or price gouging. †¢ Financial assistant fraud: This involves financial aid granted to support non existing projects. This is discovered when donors visit the project to access it impact. †¢ Sub recipient fraud: It involves reportingRead MoreInternal Controls and Fraud Prevention in Non-Profit Organization2789 Words   |  12 Pagesworkers, overstating employees working hours, and fictitious expenditure fraud. The existence of external fraud is not as common as internal fraud but could be inform of: †¢ Fraudulent billing by vendors: This involves double billing, failure to deliver purchases, or price gouging. †¢ Financial assistant fraud: This involves financial aid granted to support non existing projects. This is discovered when donors visit the project to access it impact. †¢ Sub recipient fraud: ItRead MoreErp Success and Failure4405 Words   |  18 PagesEnterprise Resource Planning Factors Affecting Success and Failure    Patricia Barton November 25, 2001 Table of Contents Introduction Factors Contributing to Failure ERP Success Stories Conclusion References Introduction What is Enterprise Resource Planning (ERP)? â€Å"Enterprise Resource Planning† is a term originally coined in 1990 by The Gartner Group to describe the next generation of MRP II software. The purpose was to integrate all facets of the business enterprise under one suiteRead MoreChapter 1 Accounting Information Systems and the Accountant14769 Words   |  60 Pagesunprocessed value)? Raw data are also important because they mark the starting point of an audit trail— i.e., the path that data follow as they ï ¬â€šow through an AIS. In a payroll system, for example, an employee’s time card for a given pay period indicates how many hours he worked, and therefore (when combined with his hourly pay rate), his gross pay. An auditor can verify the information on a paycheck by following the audit trail backwards—for example, to make sure that the ï ¬ nal value reï ¬â€šects the correct paymentRead MoreOperational Risk Management50825 Words   |  204 Pagesl ender, banks have a central role to play in the economy as a whole. Therefore, the risk of mistakes, incompetence, criminal tendencies, loss or unavailability of employees, diverse process mistakes (account entries, settlement, valuation, etc.) or failures of technical systems as well as the dangers resulting from external factors, such as violence and white-collar crime, physical threats or natural disasters, and legal risks also involve the potential of corresponding effects. This potential is evenRead MoreWilliam Bratton and the Nypd12122 Words   |  49 Pageseach day, costing the transit authority over 70 million dollars a year. Law-abiding citizens feared the underground chaos. With declining ridership and declining revenues, the system was a shambles. The police force was demoralized by the obvious failures, yet it was also resistant to change. As Bratton recalled, They didn’t want to deal with fare beating because they had no interest in protecting the Transit Author ity’s property; they didn’t want to collar turnstile jumpers because that had nothingRead MoreOnline Banking42019 Words   |  169 Pagesequally concerned about the security policy for the banking industry and other issues like security awareness, education etc. 1.1.6 The supervisory and operational issues include risk control measures, advance warning system, Information technology audit and re-engineering of operational procedures. The regulator would also be concerned with whether the nature of products and services offered are within the regulatory framework and whether the transactions do not camouflage money-laundering operationsRead MoreInternet Security Overview9605 Words   |  39 PagesHeroes of the Computer Revolution (2). It was rare that a connection from a remote system was considered an attack, however, because ARPANET users comprised a small group of people who generally knew and trusted each other. In 1986, the first well-publicized international security incident was identified by Cliff Stoll, then of Lawrence Berkeley National Laboratory in northern California. A simple accounting error in the computer records of systems connected to the ARPANET led Stoll to uncover an internationalRead MoreStrategic Marketing Management337596 Words   |  1351 Pagesmarketing analysis 2 Marketing auditing and the analysis of capability 2.1 2.2 2.3 2.4 2.5 2.6 2.7 Learning objectives Introduction Reviewing marketing effectiveness The role of SWOT analysis Competitive advantage and the value chain Conducting effective audits Summary 3 Segmental, productivity and ratio analysis 3.1 3.2 3.3 3.4 3.5 3.6 3.7 3.8 3.9 3.10 3.11 3.12 Learning objectives Introduction The clarification of cost categories Marketing cost analysis: aims and methods An illustration of segmentalRead MoreTop 1 Cause for Project Failure65023 Words   |  261 PagesAnish Mathai Mathew [PMP|MBA] Temenos T24 PROGRAM MANAGER at Union National Bank Featured discussion In your experience, what is the TOP #1 cause for Project failure? 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The Labeling Theory And Stigmatisation Essay - 1259 Words

The second case study that will be discussed is Dean Eastmond and how this will be relevant to the labelling theory and stigmatisation. Eastmond was 16 years-old at the time, invited his friend to his parent’s home to grab a quick lunch or to chat for an hour or so. However, Eastmond realised the friend he thought was friendly, became too distant. Unfortunately, Eastmond was raped and initially at the time, Eastmond was a closet homosexual. This was his first sexual experience and his virginity was taken. The perpetrator is anonymous and got away with the crime. Eastmond did not report his rape case, because he felt that victims are not taken seriously and he thought that he would ‘be viewed as a criminal’, and feared to be labelled as a homosexual (BBC and Kelsey, 2016). Male rape victims are less likely to report their crime for various reasons. According to Nicholas Groth and Ann Burgess (1980), male rape myths stems from the traditional viewpoint of masculinity that most men are supposed to be strong, dominant and heterosexual. Thus, leading victims to believe that men cannot be raped and the effect of sexual assault should be miniscule for a man than it is for a woman (Carpenter, 2009; Groth and Burgess, 1980: p. 808). In accordance to Gillian Mezey and Michael King (1989), male rape victims that do report their crime are treated differently by the police and they find themselves being completely ignored, questioned as criminals, or being ridiculed. Many males who doShow MoreRelatedLabelling Perspectives Within The 1960 s And 1970 S1626 Words   |  7 Pagesemployment (Visher, Debus-Sherrill, Yahner, 2011). This essay will provide a history into labelling perspectives and discuss key features of the theory through contemporary examples, while outlining main strengths and limitations of the theory. This essay will argue how labelling perspectives can be detrimental to individuals experiencing the stigmatisation of labelling. Labelling perspectives and its theorists focus on individuals who have been deemed as criminals and labeled by society (TannenbaumRead MoreStereotyping986 Words   |  4 Pagesincident of stereotyping, and this incident is applied to theories relating to stereotyping. Finally, comments are given on the effectiveness of the theories of stereotyping. â€Å"Stereotyping is a form of pre judgement that is as prevalent in todays society as it was 2000 years ago. It is a social attitude that has stood the test of time and received much attention by social psychologists and philosophers alike. Many approaches to, or theories of stereotyping have thus been raised. This essay evaluatesRead MoreMental Health Issues: What ´s Stigma? 3355 Words   |  13 PagesPhelan (2001) which informs us that stigma is allowed to unfold when labelling, stereotyping, discrimination, separation and status loss are acted upon a person where a power differential is evident. This intersectional process of stigmatisation driven by the interpretative theory as outlined by Link and Phelan (2001) has yielded negative social consequences for people with disabilities (Green et al 2005, Jones et al 1998). It has been reported that stigmatised groups have limited chances in the areasRead MoreDeterminants of Violence in the Greek Football League a Case Study of Paok Fc Supporters13608 Words   |  55 Pagesin Greece these days, in order to institute measures for confrontation of football hooliganism. The previous minister of sports Mr Lianis tried to implement the British model of hooliganism elimination –expensive tickets, denial of entrance and stigmatisation of fans that in the past showed aggressive behaviour, severe financial penalties for football clubs that directly or indirectly tolerate these groups of supporters- but these measures where ineffective. Violent incidents still continued to occur

Management of the Information Technology Services

Question: Case study of the HBZS mining rescue services. Answer: Introduction: In this report, the case study of the HBZS mining rescue services is given. HBZS is the medium business sized organization that provides the rescue services underwater, in the fire and in the un-breathable places. HBZS is the company that works 24 *7. There are 26 members of the team who work 24 hours in the seven days. IT department of the HBZS wants to adopt the ITIL that is information technology infrastructure library. ITIL provides an effective framework for information technology management. This report is prepared to submit to the manager of the OKD, HBZS mining resources for the future improvements of the ITSM at HBZS. OKD HBZS is the mining rescue service providing the company that is a joint stock company. There is case study given for HBZS by the IT manager of OKD, HBZS. The manager of the IT department is MR. Gurny, who has a vast experience in the information technology department. Information technology is the term used for the implementation of the computer network so that the data processing can be done. The information technology is also used for developing the computer network for the communication over a network. It includes the hardware designing and also used for connecting the separate components. Information technology is used for developing the software efficiently for the data processing. Information technology is the term which is mostly using in every organization for creating the network for the data processing. In OKD, HBZS, information technology is widely used for managing the services provided by the HBZS mining rescue service providing organization (Akram and Singh 2016). HBZS provides not stop emergency rescue service over long years. OKD, HBZS is a joint stock company and the main company or the sole holder is OKD, HBZS works under OKD. OKD is the only hard coal producer in the Czech Republic and HBZS provides the mining rescue services to OKD. The primary responsibility of the HBZS is to provide the rescue work from the underground environment such as underwater and the un-breathable environment such as the smoky environment. The main responsibility of HBZS is to rescue the man and material also. There is a permanent team of twenty-six experts appointed in HBZS for the rescue work who are on call on the headquarter of HBZS permanently (Borghoff et al 2013). This team works 24 * 7 and after the seven days, they are rotated and the other experts work for that week. There is an additional reserve of the eight rescue experts who can reach to the headquarter within one hour on call. HBZS provided the 384 rescue work in 2014 and that time rescue team wor ked approximately 15,500 hours. At the top of that, the rescue team of HBZS provided the 2520 non-emergency rescue works in 77,368 work hours. The IT department of the HBZS is the internal information technology services provider. The main role of the IT department is to support the activities of the rescue team and to assemble the correct configuration of the staff. The internal information system of this company is based on IBM Company. Around 184 employees are working in one headquarter and there are ten branches of HBZS mining Rescue Company (Al Mourad and Hussain 2014). HBZS wish to adopt the ITIL again so that the services provided by HBZS can be improved. HBZS has chosen the tool based approach at the first time to support the structured process. Mr. Gurny wishes to improve the ITIL services so that ITSM can be improved and HBZS would be able to provide the better services. In this report, the proper description is given that a new ITIL should be adopted or the first ITIL process can be improved. On the basis of the case study, a correct suggestion is explained in this report to the IT manger to OKD, HBZS. All the phases of the ITIL process is described here and the solution is given in this report based on the issues occurred in the adoption of the ITIL. The transition process of service will also explain in this report. The transition is the term which is used for the change and managed under the ITIL service. The service transition process is implemented on the basis of the information technology infrastructure library. The ITIL is the term used for managing the services if information technology. The proper description of managing the ITSM is HBZS mining rescue service providing the company is given in this report (Davenp ort 2013). IT is the information technology which is used in every organization for managing the software services. The scope of the information technology is very large as it is used in every organization for managing the various services. Future Improvements: ITSM will help to identify the problem of the company and it is important to resolve the problem of the company which is facing by this rescue mining organization. The processes and the technologies over the tools used to the company for providing that particular services are also inspected. The services can improve by using the information technology service management as it is helpful to reduce the cost and to provide the efficient services at less cost. The manager of HBZS is advised to choose the partners carefully. The partner to work with can be chosen carefully. An additional process needs to be adopted in this mining rescue service company. ITIL is useful to improve the ITSM that is very important to implement the Six- Sigma that is very useful to improve the customer satisfaction level. ITSM is all about to implement the strategy to fulfill the requirements of the customers. ITSM can form the service desk functions and supports the direct activities of HBZS. ITSM will help the company to exploit the potential and the traditional view of the ICT (information and communication technologies). ITSM will help the HBZS organization to align IT services with the needs of the business and IT activities also aligned to support the business needs of rescue services. If, IT, service are implemented and maintained in a proper manner then this mining rescue organization will be more successful and it will suffer from less disruption and it will be helpful to reduce the hours of operation and the cost of the operation will be decreased (Kellermann and Jones 2013). Information technology service management is necessary to understand so that the information technology processes can be understood and the proper ITIL processes can be implemented. ITSM will help the service provider to understand the services provided by HBZS. ITSM will help this company to manage and deliver the service on time. ITSM is also important to let the customers understand the importance of the services provided by this company so that the managers of the company can facilitate the services outcomes of the customers. When the term comes to the information technology service management then a question is arise that how the information technology services can improve. ITIL is the information technology infrastructure library that is set for the ITSM that is information technology service management. ITIL is the set of the practices that helps to focus on the needs of the business. It is the practices for the information technology service management which are carried out to fulfill the needs of the HBZS. ITIL is adopting by the HBZS to fulfill the information technology needs. ITIL is the developed to categorize the services of the information technology such as planning, selection and delivery of the services. The aim of ITIL is to improve the working efficiency and to achieve the predictable service level. ITIL is very necessary for the business that enables the information technology to work in coordination. The main aim of the ITIL is to achieve the services level that is predictable. It provides a back end support but mostly enables the IT to work in coordination with the HBZS business. The guidelines of the information technology help to improve the action and the expenses of information technology to the business needs and also help to fulfill the business needs (Ricciardi et al 2013). ITIL is very important to change the business needs into the business grow direction. ITIL is the best way to manage the IT services in business so that a business can grow and the best action can be taken for the success of the business. ITIL is in demand these days because the data centers are adopting more geographical architectures. ITIL is adopting by HBZS to take the flexibility in the business and the unwanted differences in the process of the rescue can be reduced. The manager of HBZS recognized the importance of perceiving IT services. Summary: In this report, the proper suggestion to the IT manager of OKD according to case study of the HBZS mining rescue services is described in detail. OKD is the parent company of the HBZS and it is in a joint stock partnership with HBZS that is the medium business sized organization that provides the rescue services in dangerous environment where to take breathe is not possible such as at the fire place and at the other un-breathable places. ITIL is the software structure that is used in HBZS to maintain the ITSM and to provide an effective framework for information technology service management (Flexer et al 2012). The manager of OKD IT department is MR. Gurny who has a Gurny is given in great knowledge in the information according to the case study. The main responsibility of HBZS is to rescue the man and material also on emergency call request. All the workers of HBZS are always ready to handle an emergency service. This company provides its services 24*7. HBZS adopted ITIL and implemented six services for improving the mining rescue work. They implemented only technologies but did not pay attention to maintaining the ITIL infrastructure so that they met with some disasters. The process to improve the ITSM is described in brief in this report. The nature of the IT and the need to be aware for the IT is also discussed. In short, it can be said that this report shows all the facts and issues in OKD, HBZS due to the lack of information technology service management (Roche and Teague 2012). Due to the lack of services management, only new services are implemented but they did not pay attention to maintaining the old technologies and services which are used in HBZS. Mr. Gurny wants to improve the ITIL services so that ITSM can be improved and HBZS would be able to provide the better services. Therefore, the proper suggestion is given for the improvement of the ITIL and the ITSM as well. Findings: There is the lack of service management is find in this case study. The new technologies are developed by using ITIL but the old services are not improved. There is a need to improve the ITIL services and need to use the transition processes properly. Transition processes are used for the improvement of service so by using the CSI process, the ITIL frame work and ITSM can be improved in HBZS. Recommendations: The IT manager of OKD advised using the ITIL transition processes so that services provided by HBZS can be improved and the quality of the services can be enhanced. All the guidelines of the CSI (continuous service improvement) discussed above should be used by MR. Gurny to improve the ITSM (Information technology service management). The conclusion is that old ITIL process can be improved by using the ITIL transition process. There is no need to adopt the new ITIL for the service management of the IT. References: Akram, F. and Singh, H. (2016). Information Technology Service Management for Cloud Computing.International Journal of Advanced Electronics and Communication Systems,5(1). Al Mourad, M.B. and Hussain, M., 2014. The Impact of Cloud Computing on ITIL Service Strategy Processes.International Journal of Computer and Communication Engineering,3(5), p.367. Al Mourad, M.B. and Johari, R., 2014. Resolution of challenges that are facing organizations before ITIL implementation.International Journal of Future Computer and Communication,3(3), p.210. Baumann, C., Elliott, G. and Burton, S., 2012. Modeling customer satisfaction and loyalty: survey data versus data mining.Journal of Services Marketing,26(3), pp.148-157. Bhm, E., Eggert, A. and Thiesbrummel, C., 2016. Service transition: A viable option for manufacturing companies with deteriorating financial performance?.Industrial Marketing Management. Bhm, E., Eggert, A. and Thiesbrummel, C., 2016. Service transition: A viable option for manufacturing companies with deteriorating financial performance?.Industrial Marketing Management.

Tuesday Siesta by Gabriel Garcia Marquez Essay Example

Tuesday Siesta by Gabriel Garcia Marquez Paper There are three main social classes: low, middle, and upper. People try to live an affordable life, but not all have the same class. In â€Å"Tuesday Siesta,† by Gabriel Garcia Marquez, there are people who cannot afford the luxuries in life. Therefore, people try to examine life, engage life with retribution and always pursuit for new desires and new fate to reach with their mind. But being proud and having dignity can change the way a person thinks and make a person feel stronger. The woman was very confident with her dignity when the woman went to see her son, the thief’s grave, â€Å"The priest scrutinized her. She stared at him with quiet self-control, and the father blushed† (Marquez 3). The woman stared at the priest with self-control, which shows that she was very confident in herself and had changed the priest’s mind, as he blushed.The woman is strong enough to not feel bad and cry about feelings; she stood sufficiently in front the man. Also the girl had self-worth to get up and change her seat because the smoke of the train was coming through the window. â€Å"Since the smoke of the locomotive kept coming through the window, the girl left her seat She sat on the opposite seat, away from the window, facing her mother† (Marquez 1). The girl was uncomfortable in the seat where the smoke was coming through the window. Therefore that shows the girl was confident and with self-pride she got up and changes her seat. The girl’s face wouldn’t look upright or clean if she kept seated beside the window, where the smoke was coming from. And that’s why the girl moved to sit towards her mother. The woman and her daughter are resilient and had shown a great level of confidence when â€Å"They were the only passengers in the lone third-class car They were both in severe and poor mourning clothes† (Marquez 1). The woman and her daughter did not get self-conscious or embarrassed in front of people in the bus because they were passion We will write a custom essay sample on Tuesday Siesta by Gabriel Garcia Marquez specifically for you for only $16.38 $13.9/page Order now We will write a custom essay sample on Tuesday Siesta by Gabriel Garcia Marquez specifically for you FOR ONLY $16.38 $13.9/page Hire Writer We will write a custom essay sample on Tuesday Siesta by Gabriel Garcia Marquez specifically for you FOR ONLY $16.38 $13.9/page Hire Writer