Moderna CFO Fired After First Day

Moderna

Wild news in the Covid-19 world today: Vaccine maker Moderna has fired its new CFO one day into the job, after the executive’s previous employer disclosed in an SEC filing that it had launched an investigation into fraudulent financial reporting.  Moderna disclosed the departure of Jorge Gomez in a terse press release issued Wednesday morning.…

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Middling News on Anti-Fraud Efforts

fraud

The Association of Certified Fraud Examiners has a report out this week about which technologies companies are using to fight fraud, although one major theme is that plenty of companies still use traditional anti-fraud tactics — even as the nature of fraud risk is changing rapidly. Hmmm.  ACFE’s 2022 Anti-Fraud Benchmarking Report polled more than…

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Study: Whistleblower Awards Cut Fraud Risk

whistleblower

Compliance professionals have another neato academic study to start your week, this one finding that the whistleblower provisions of the Dodd-Frank Act reduce the risk of accounting fraud at publicly traded firms by as much as 22 percent. Measuring the effect of Dodd-Frank’s whistleblower provisions has long been tricky business, because the law went into…

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SEC Charges Taxi Lender With Fraud

fraud

The Securities and Exchange Commission has charged the head of a New York financial firm with fraud, saying he paid media consultants to write bogus stories and offered kickbacks to valuation firms, all to prop up a banking subsidiary that lent money to taxi drivers and held the cabbies’ medallions as collateral.  The driver of…

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A Difficult Picture for Anti-Fraud Today

fraud

The Association of Certified Fraud Examiners is holding its 2021 conference this week (virtually), and to that end the ACFE also just published its latest survey on anti-fraud budgets, resources, and challenges.  Suffice to say, anti-fraud and internal audit teams have had a busy year. More than half of all survey respondents said they’ve found…

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Digging Into the State Street Settlement

I haven’t had time to write about this until now, but last week State Street Corp. agreed to pay a $115 million criminal penalty and accept a compliance monitor for two years, to settle charges that the bank deliberately overcharged its clients for years. If you want an example of how invasive compliance monitorships can…

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Some Stats on Fraud Training

fraud

Looking for some benchmarking data for how you should structure your anti-fraud training program and what it should contain? Fear not, a new survey from the Association of Certified Fraud Examiners has you covered.  The ACFE published its survey over the weekend, after polling more than 1,700 anti-fraud professionals around the world earlier this year.…

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Feds Warn on Vaccine Fraud

vaccine

The U.S. Treasury Department is warning financial firms to be on the lookout for frauds and cyber attacks related to covid vaccines, and asking for some tweaks to what firms include in Suspicious Activity Reports that you might file in connection with vaccine scams.  FinCEN, the enforcement wing of the Treasury Department, published the guidance…

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Covid and Fraud Risk: Still Rising

fraud

We have another update on fraud risk during the era of Covid-19. The risk is still going up, and compliance and audit executives running anti-fraud programs still have a harder time stopping it.  So says the Association of Certified Fraud Examiners, which published its latest fraud risk survey today. More than 2,000 anti-fraud professionals participated,…

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Covid-19 Fraud Risks Already Soaring

fraud

Well this is just great: a new report finds that fraud is rising across Corporate America, as cyber thieves and scam artists try to take advantage of the confusion spawned by companies responding to the Covid-19 crisis.  The report, published by the Association of Certified Fraud Examiners on Tuesday, surveyed more than 1,800 anti-fraud professionals…

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