Debt Collection, or Lack Thereof As reported recently by The Long Beach Post, according to an audit of the City's Business Relation Bureau that spanned two years, $2.4 to $2.6 million in outstanding business license accounts have not been collected by the City of Long Beach. http://www.lbpost.com/business/2000001889-city-auditor-2-4-to-2-6m-in-delinquent-business-license-accounts-uncollected#.UTTbYldZ_Q8 Residents are fuming at the lack of tenacity [...]
Municipal Fraud Prevention Part 3 of 3 - Have checks and balances, and routinely ask yourself if loopholes exist - Cheap comes out expensive, hire external auditors, forensic accountants, and certified fraud examiners - Turnover in your finance department isn’t always a bad thing- in some cases, an extensive level of familiarity breeds corruption - [...]
Municipal Fraud Prevention- West Linn Part 2 of 3 The current West Linn Finance Department (after the 1.42 million dollar scandal), much like a Phoenix rising from the ashes, crafted a new mission statement. The forward moving department proclaims proudly “being good stewards of taxpayers’ monies is the Finance Department’s main focus, but that alone [...]
Municipal Fraud- West Linn Part 1 of 3 Municipal fraud is all around us explains Richard Seals CFE, CPA, CMA in his recent article: From First to Worst in Fraud-Magazine. http://www.fraud-magazine.com/article.aspx?id=4294977156 West Linn, Oregon’s former city finance director, Elma Magkamit, was a compulsive gambler. She also lied about being both a college graduate and a [...]
Can I say "crappy"? Yes, I believe I can. And did. Apparently, First 5 Los Angeles has accumulated $800 million of taxpayer money that they're sitting on. They apparently spend $180 million per year but can't quite spend the whole amount they get ... so it sits in the bank. THAT'S OUR MONEY PEOPLE! "An [...]
Our now well known buddy, Robert Rizzo apparently secreted away $4.5mm in a hidden pension account. What I want to know is who the heck found this slush fund? My hat is off to the forensic accountants who discovered it.
A new senate bill will give California State Auditors the right to dig into the books and expenditures of cities. This in in response to the Bell scandal. Apparently 50 groups have been ratted on by whistleblowers!
A Wall Street Journal Article points out that billions of dollars ... in cash ... is being air-freighted out of Kabul. Corruption is suggested. Pardon me? Billions in cash and corruption is suspected? They can't track the money? I suggest that the government hires a squad of forensic CPA's to uncover the fraudsters. We'll work [...]
CFO magazine cites a 2009 study by Benjamin Luippold, an assistant professor at George State University on how to con the auditors.Distract and divert the auditors attention from the place you want them to look. You will succeed with your con.Now it's been "scientifically" tested. All you auditors and forensic accountants out there ... Use [...]
Here's a picture of the accountant's office. Suite 3. Accounting, Taxation and Financial Services ... hmmm. Taped to the window ... it says they "E-File". Classy digs! Apparently, the accountants were telling the AICPA for 15 years that they didn't do audits. The AICPA has since kicked him out. Nice due diligence on the part [...]