| Criminology and penology |
|---|
 |
Accounting scandals are business scandals which arise from intentional manipulation of financial statements with the disclosure of financial misdeeds by trusted executives of corporations or governments. Such misdeeds typically involve complex methods for misusing or misdirecting funds, overstating revenues, understating expenses, overstating[1] the value of corporate assets, or underreporting the existence of liabilities; these can be detected either manually, or by the means of deep learning.[2] It involves an employee, account, or corporation itself and is misleading to investors and shareholders.[3]
This type of "creative accounting" can amount to fraud, and investigations are typically launched by government oversight agencies, such as the Securities and Exchange Commission (SEC) in the United States. Employees who commit accounting fraud at the request of their employers are subject to personal criminal prosecution.[4]
- ^ In Italian law the phrase "still subject to evaluation" now refers to material facts that are untrue: it was a clarification for "informations", but totally inconsistent with the "facts" reported in accounting documents: Buonomo, Giampiero (2001). "Diritto societario: chiusa la discussione, approvazione a fine mese". Diritto&Giustizia Edizione Online. Archived from the original on March 24, 2016.
- ^ Schreyer, Marco (October 9, 2019). "Adversarial Learning of Deepfakes in Accounting". arXiv:1910.03810 [cs.LG].
- ^ Nickolas, Steven (March 27, 2015). "What is accounting fraud?". Investopedia. Archived from the original on March 20, 2017. Retrieved March 19, 2017.
- ^ "What is accounting fraud? definition and meaning". BusinessDictionary.com. Archived from the original on March 20, 2017. Retrieved March 19, 2017.