U.S. Securities and Exchange Commission

revenue he would need. Ponzi scheme is named after Charles Ponzi whose crime was discovered in July of 1920 by the Boston Post. Madoff started in the investment business legally by buying and selling stocks that were not listed on the New York Stock Exchange. He started by himself in 1960 and was a “wholesaler” between institutional investors. In his early days, he works with investment firms such as A.D. Edwards, Charles Schwab amongst others and his profit was the difference between the…

QUESTION 2 Start the question by defining a Ponzi and a Pyramid scheme; A Ponzi Scheme: "A con artist offers obligations that promise very high returns at seemingly very low risk from a business that does in fact exist or a secret idea that does not work out. The con artist helps himself to the investors' money, and pays a promised high returns to earlier investors from the money handed over by these and later investors. The scheme ends when there is no more money from the new investors"(Frankel…

“Insider trading” is a term that is commonly known to investors, but what is insider trading? This term in most cases is references to illegal actions. However, the term speaks to both legal and illegal actions. According to the U.S. Securities and Exchange Commission (n.d.) (SEC), Insider trading as a legal action, addresses when corporate insiders-officers, directors, and employees-buy and sell stock in their own companies. In situations of legal insider trading, they are required to…

of the Securities Exchange Act of 1934 (Title 15, United States Code, Section 781) and is required to file periodic financial reports under Section 13(a) of the Securities Exchange Act of 1934 (Title 15, United States Code, Sections 78m(a) and 78o(d)). In preparing its income statement, HealthSouth deducted the contractual adjustment from its gross revenues to get net revenues, which were reported in the periodic financial reports and filed with the U.S. Securities and Exchange Commission. Since…

Madoff Securities Madoff securities, is a company created by Bernard l. Madoff Investment Securities LLC was founded in the year 1960 by Bernard Lawrence Madoff, who happened to be also be senior executive of the company. Bernard Lawrence started the company using accumulated funds of $ 5,000 from his business that involved the installation of sprinkler systems for wealthy New Yorkers. In his five years as executive, the company accumulated a fortune estimated at more than one billion dollars.…

To this day, one of the most well known American swindlers and criminals of the administrative field is Bernard Madoff. The opportunist made it seem as though he was a caring nice individual that could be trusted, but the real truth was that he was a crazed and greedy criminal. It came as a shock to most people when he confessed to the crimes he had committed because he was a master at hiding the person he truly was. The people he worked so closely with believed in him and trusted him whole…

Marshall and Wyatt, CPAs is an independent auditor for the publically traded company Interstate Land Development. Interstate has been preparing and filing there own tax returns since Marshall and Wyatt have been auditing their company. While the SEC was processing the registration statement Marshall and Wyatt received a subpoena directing them to turn over all the working papers relating to Interstate for the year 20X2-20x5. They initially refused to turn them over because they did not prepare…

U.S. authorities had been closely looking into Stanford Financial Group and investigating the certificates of deposit because of the returns that they were providing to their investors. In addition, the fact that the company’s assets showed an increase of 7 billion in a time span of only seven years (2001-2008) also seemed sketchy. As Stanford’s criminal case states “The indictment alleges that, in fact, approx. $5 billion of SIBL’s reported assets consisted of notes on loans to Stanford and…

reporting standards have become more strict since the establishment of the Sarbanes-Oxley Act, yet the decrease in flexibility adds a sense of structure for companies. While these changes have enforced adjustments, throughout these last fourteen years the U.S. economy has been able to dodge many problems like Enron. Those companies that could not or would not accommodate are no longer present. The Sarbanes-Oxley Act is no perfect solution to any problem that will come into the economy but it…

and more able to provide for the basic needs of its citizens. The U.S. provided $277 million in bilateral aid to DRC in 2016, along with $166 million in emergency assistance. Targeted sanctions under Executive Order 13413 (2006) focus on human rights issues such as sexual violence and child soldiers, both of which are exacerbated by conflict mineral mining and trade. As Obama, himself, has noted – the most immediate challenge to any U.S. – Congo policy is the complexity and extensiveness of…