Accounting Fraud

Texas White Collar Criminal Defense Attorney

Accounting fraud falls into the category of white collar crime and involves manipulating figures and falsifying accounting records to make a company’s profit and performance look better than it was. Numerous fraudulent accounting methods and complicated schemes have been used to alter balance sheets and revenue outlook.

A few examples include:

  • Improperly recording sales and expenses
  • Illegally recognizing revenue
  • Pulling revenue forward
  • Creating two sets of accounting records
  • Hiding bad debt
  • Material omissions
  • Misrepresenting financial statements

Accountants, controllers and chief financial officers are among individuals who commit accounting fraud, however, auditors also have a duty of fiduciary responsibility and auditing firms may be held liable for missing telltale signs of fraud in client audits.

Financial Reforms Attempt to Curb Fraud

While the Sarbanes-Oxley Act of 2002 enacted post-Enron reforms that made fraud more risky for executives, accounting fraud is still rampant in both public and private operations alike. In 2010, executives at the publicly traded investment bank, Lehman Bros. were accused of fraud, and the actions of Ponzi schemer Bernard Madoff were widely publicized. Healthcare South shareholders plan to finalize a settlement agreement in July 2010 in lawsuits filed against accounting firm Ernst & Young and Swiss bank, UBS AG, seeking restitution for their part in a multi-billion dollar accounting fraud scandal.

White Collar Criminal Defense Expertise

Accounting fraud allegations are serious offenses that require high caliber defense counsel. Based offices in Dallas, Texas Super Lawyer John R. Teakell defends companies, their officers, directors and outside professionals in proceedings alleging accounting fraud and in government investigations related to accounting irregularities.

Call our law firm at (214) 523-9076 to arrange an appointment today. There is no fee for an initial consultation to discuss your situation with civil and criminal defense attorney, John Teakell.