FIN 4634 1. What was the nature of the scandal, and which entities were laundering money? HSBC is one of the top British multinational bank and financial service company in the world. In July 2012, a U.S. Senator released an extensive report on HSBC on investigations of money laundering for Mexican drug cartels and moving cash for international banks with ties to terrorists.
Informative Speech Outline: Topical Organizational Pattern I. Introduction A. Identity theft is a crime where a person pretends to be someone else by assuming that person’s identity in a fraudulent way. Identity theft occurs when someone uses another person’s identifying information, such as their name, social security number, credit card or banking account numbers without their permission to commit fraud and to usually obtain monetary gains. B.
568) would not likely be able to be explained in a way that would dispel doubt about the transaction. The bank would also be required to report it because they have to report “acts that appear oriented to avoid reporting or recordkeeping requirements” or when “insufficient or suspicious information provided by customer” (Beauchamp, Bowie, & Arnold, 2013, pg. 568) as would almost assuredly be the case with Joey. c. Is law enforcement likely to discover his purchase of the house or boat for cash? Again this depends on the buy off of a banker.
* Segregation of duties * Segregation bank accounts * Daily account monitoring and reconciliation * Management and protection of user access and account information * Bank security services * Use bank’s multi-factor authentication tools 4. Forged endorsement schemes and altered payee schemes both involve the theft of outgoing checks that are intended for third parties for some legitimate purpose (e.g., a check payable to a vendor for services rendered). In this respect, these schemes differ from other forms of check tampering, in which the check is usually drafted by the perpetrator for a fraudulent purpose. Discuss how this distinction affects the way in which forged endorsement and altered payee schemes must be concealed. * The fraudster has the authority to sign checks
It will attempt a dissection of the sector by looking for what went wrong and where. It will provides possible solutions and give directions to follow. The paper is divided into six part, part one is Introductions, part two A brief history of banking, three innovation and management in the banking industry, four re examining the banking practices, five the near future: applying Drucker’s ideas in banking, and six provided the concluding part. A BRIEF HISTORY OF BANKING The most organized form of banking to be found in the west before the advent of today highly complex chunk of activities you called banking is the safekeeping activities of the Goldsmith in the early 15th century. “The association of the supply of transactionary money with the business of banking”, writes Tobin “was an unplanned historical development beginning in the fifteenth century in Italy and especially in the seventeenth century in England.” With passing of time Goldsmith realized they could lent out the money entrusted with them at interest without
The Scandal: In 2002, the Securities and Exchange Commission filed charges against Adelphia Communications Corporation; "its founder John J. Rigas; his three sons, Timothy J. Rigas, Michael J. Rigas, and James P. Rigas; and two senior executives at Adelphia, James R. Brown, and Michael C. Mulcahey, in one of the most extensive financial frauds ever to take place at a public company (sec.gov)." The defendants were charged with fraudulently excluding billions of dollars in liabilities from its financial statements by hiding them on the books, falsified operations statistics and inflated earnings to meet Wall St. expectations, and concealing "rampant self-dealing by the Rigas Family, including the undisclosed use of corporate funds for Rigas Family stock purchases and the acquisition of luxury condominiums in New York and
The crime of identity theft is committed by fraudulent means to obtain financial resources from the person. The information below will include the types of identity theft, how it occurs, how large the growing problem is, and how to protect yourself from it. What is Identity Theft? Business & Money defines identity theft as: “Identity theft occurs when the personal identifying information of an individual is misappropriated and used in order to gain some advantage, usually financial, by deception (White, 2012).” Many people confuse regular fraud as being the same as identity theft, and that is not the case. In a fraud case, the criminal is not taking the identity of a certain person.
Last July 2012, a new financial fraud came out and hit the news headline, déjà vu, perhaps of other famous scandals, but not. This time a medium size financial institutions, name “ Peregrine Financial Group Inc” accused of shortfall of funds for around $200 million, where its CEO, Russell Wasendorf managed to misstated financial record for over 20 years, and finally in July 2012 filed for Bankruptcy. This particular case raises the questions of the role of controlling agencies , these last two hold a percentage of responsibility in this case. How PFG could managed to forge bank documents and financial record for such a long time, the clear response is the lack of controls and oversight. This has become a major problem over the last financial scandals as well.
When one individual is responsible for all of the related activities, the potential for errors and fraud is increased. True 3. False The lack of agreement between the balance per books and the balance per bank is due to time lags and errors by either party. True 9. False Cash proceeds collected by the bank for a depositor would be identified in the bank statement by a credit memorandum to explain the entry.
Discuss the merits and demerits of single entry bookkeeping and incomplete records and give reasons that justify its existence regardless of its short coming: Single entry and incomplete records refers to a situation where business transactions are not recorded and evaluated according to the accounting principles. This method of single entry and incomplete records has got consequences; It promotes fraud because there is lack of control of the business’ transactions. Data is not enough to prove that someone is cheating or stealing from the organization. It is hard to evaluate the performance and financial position of the business because the debit entries do not correspond with the credit entries. The profits or losses are not well assessed.