Accounting. see also Financial accounting

choice

, 325

corporate fraud case

, 158–160

jobs

, 262–263

Accounting and Auditing Enforcement Releases (AAER)

, 89

Accounting error

earnings management and fraud

, 325–327

limits of measurement technology

, 323

management bias

, 324–325

randomness

, 323–324

sources of

, 322–327

Accounting fraud

, 25

capital market incentives

, 328–330

contracting incentives

, 327–328

managers committing

, 327–330

Accounting principles

, 63–78

conservatism principle

, 71–73

corporate reporting fraud

, 61

cost principle

, 73–75

economic entity principle

, 67–71

full disclosure principle

, 65

going concern principle

, 65

matching principle

, 77

materiality principle

, 65–67

monetary unit principle

, 64–65

revenue recognition principle

, 75–76

time period principle

, 78

Accounting scandals. see also Global corporate scandals

, 345–358

Enron

, 345–351

future regulation

, 358

Global Crossing

, 355–358

WorldCom

, 352–355

Accounting Standards Update (ASU)

, 66

Accrual-based earnings management

, 118–119

Advanced persistent threat

, 289

Adverse selection

, 152–153

Affiliate fraud

, 288

Agency costs

, 156–158

bonding costs

, 157

monitoring costs

, 156–157

residual losses

, 158

Agency relation

, 150

Agency theory

, 10, 150–158, 170–172, 453

agency costs

, 156–158

fundamental role of information asymmetry

, 151–154

interest divergence and opportunistic behavior

, 154–155

Parmalat fraud

, 160–163

Xerox case

, 158–160

Alabama’s Data Breach Notification Act (2018)

, 294

Alberta, whistleblowing programs in

, 254–255

Alberta’s Securities Commission (ASC)

, 254

American Depositary Shares (ADS)

, 404

Amsterdam Stock Exchange

, 403

Anstalts as shells

, 366–367

Anticorruption

, 198

Antimoney laundering (AML)

, 374–375

Asset

forfeiture

, 312–313

misappropriation

, 7–8, 24–25, 28–29, 321

Asset protection trusts

, 367

as shells

, 367–368

Assistant US Attorneys (AUSAs)

, 302, 304

Association of Certified Fraud Examiners (ACFE)

, 3, 22–23, 39, 107, 321–322

At-the-money stock options

, 385

Attorney

attorney–client privilege

, 263–264

work product

, 263–264

Audit

committee financial expert

, 113–114

functions

, 112–114

Auditor’s behavior

individualism and

, 133

power distance and

, 131

Australia, whistleblowing programs in

, 248–250

Australian Securities and Investments Commission (ASIC)

, 248

Authorizations

, 274

Autoritédes marchés financiers (AMF)

, 254

Backdating

, 395

Bank of Baroda

, 410

Bank of England

, 427

Bankruptcy

, 65

Barbados PIF

, 370

Barings Bank

, 422, 425–427

Base salary

, 173–174

Baselining

, 271

Bearer shares

, 365

Behavioral

analytics

, 271

consistency theory

, 93–94

Beneficial owner

, 362

Beneficial ownership transparency, lack of

, 372–373

Beneficiaries

, 369

Benford’s Law

, 14, 268–269, 333–335

Bias

, 328

Bill-and-hold practice

, 326–327

Billing scheme

, 28

Bloodhounds

, 336–337

Blue Sky Laws

, 315–316

BNP Paribas

, 410

Bonding costs

, 157

Bonus compensation

, 173–174

Bots

, 291–292

Bribery

, 29–30

Bullet-proof hosting services (BPH services)

, 290–291

Business e-mail compromise (BEC)

, 284–286

Canada, whistleblowing programs in

, 250–255

Capacity swap

, 344–345

Capital market incentives

, 328–330

Capital Markets Act

, 255

Capital Markets Stability Act

, 255

Capital-expenditure issues

, 353

Capitalism

, 169

Cash

, 274–275

cash-for-information system

, 242

misappropriations

, 28

Certified Fraud Examiners (CFEs)

, 262–263

Channel stuffing

, 33–34, 270, 326

Chief executive officer (CEO)

, 19, 86, 108, 155, 169, 172, 187, 213–214, 344, 383, 406–407, 428, 444

CEO–chair duality

, 115

narcissism

, 97–99

power

, 99–100

Chief financial officers (CFOs)

, 94, 179, 352, 409, 444

China Securities Regulatory Commission (CSRC)

, 139–140

Chip-and-PIN

, 287

Citibank

, 410

Civil cause of action. see Private cause of action

Clean fraud

, 286–287

Cockroach theory

, 3

Code of Conduct

, 275

Cognitive dissonance theory

, 43

Cognitive theory of moral disengagement

, 43–44

Committee of Sponsoring Organizations of Treadway Commission (COSO)

, 170

Common Reporting Standard (CRS)

, 375

Company foundation (CF)

, 370

as shells

, 370

Compensation

contracts

, 329

and fraud

, 175–176

Concealed liabilities and expenses

, 34

Conflict of interest

, 31

Conservatism principle

, 71–73

Consumption taxes

, 364

Contagion effect. see Spillover effect

Contracting incentives

, 327–328

Contributor level fight against fraud

, 232–233

Control mechanisms

, 86

Cookie jar reserve

, 324

Cooperative Capital Markets Regulatory System

, 255

Copyright

, 288

Corporate culture. see also National culture

, 50

CEO narcissism

, 97–99

CEO power

, 99–100

DS DSM-IV TR diagnostic criteria

, 97

and fraud

, 87–91

and identity

, 91–100

individual integrity

, 95–97

individual risk-taking

, 93–95

measuring fraud in statistical modeling

, 90–91

Corporate environment and internal controls

, 115–117

Corporate executive compensation structure

, 173–176

bonus compensation

, 173–174

compensation and fraud

, 175–176

golden parachutes

, 174–175

option compensation

, 174

Corporate fraud

, 3, 5, 7–10, 13, 19–24, 67, 73, 149–150, 205, 261, 299–300, 421, 441

accounting research and corruption

, 452–453

asset misappropriations

, 28–29

background

, 20–22

commiting

, 445

corruption

, 29–31

empirical studies

, 22–24

enhancing auditor’s role as critical gatekeeper and reducing expectation gap

, 450–451

enhancing cyber security

, 451

extending research to nonprofit sector

, 451–452

financial statement fraud

, 31–35

and forms

, 443–444

global corporate scandals

, 425–433

government’s strategy

, 300–302

holistic approach to combating fraud

, 453–454

interaction between individuals

, 449–450

international implications and regulations

, 422–425

investigations

, 266–268

opportunities

, 447–448

and challenges for data collection

, 451

prioritizing employees

, 450

responsible for combatting

, 302–304

role of international bodies to fight financial crimes

, 424–425

schemes

, 51

special agents

, 305–308

state of accounting literature on

, 442–448

suggestions for future research

, 448–454

types

, 24–35

Corporate Fraud Task Force

, 300

Corporate governance

, 23, 86, 91, 129–130, 170–173

agency theory

, 170–172

board structure

, 172–173

changes following fraud

, 119–120

external governance

, 117–119

failure

, 159–160

and fraud

, 109–110

internal governance

, 110–117

in Satyam

, 406–408

Corporate policies

, 190–192

Corporate reporting fraud

, 61

Corporate taxes

, 364

Corporate Transparency Act

, 374–375

Corporate whistleblowing

Australia

, 248–250

Canada

, 250–255

United Kingdom

, 245–248

United States

, 244–245

whistleblowing programs

, 242–244

Corporations

, 279

Corporations Act

, 248

Corruption

, 24–25, 29–31, 194–199, 321, 452–453

and economic conditions

, 197–199

and firm policies

, 196–197

Corruption Perceptions Index (CPI)

, 195

Cost

cost–benefit analysis

, 208

principle

, 73–75

Creator

, 367

Cressey’s fraud model

, 21–22

Crimeware

, 290–292

Criminal Code

, 244

Criminal Investigation Division of the Internal Revenue Service (IRS-CI)

, 301–302

Criminal Investigator Training Program (CITP)

, 308

Criminality and legal infractions

, 94

Criminals

, 286–287

Criminology

, 40

Crowdfunding

, 221

consequences of fraud

, 229–230

detecting ex-ante crowdfunding fraud

, 225–228

fight against fraud

, 230–234

fraud

, 223–225

Culpable whistleblowers

, 252–253

Culture

, 91–92, 128, 226–227

dimensions

, 10

and fraud

, 128–136

measurement

, 92–93, 92

national culture and economic activities

, 129–130

national culture measures

, 128–129

Cumulative abnormal returns (CARs)

, 212, 389

Cyber fraud

, 280–293

cost of

, 293–296

Cyber security

, 451

ventures

, 280

Cybercrime

, 280–293, 451

Cybercrime as a service (CaaS)

, 280, 290–292

Cybercriminals

, 283

Data

breaches

, 294–295

mining techniques

, 225–226

trading

, 289–290

Deductive approach

, 269–272

Deferred prosecutions

, 314–315

Deferred revenue

, 356

Department of Health and Human Services (HHS)

, 295, 305–307

Department of Justice (DOJ)

, 67, 89–90, 138–139, 299, 301, 345

Detected fraud

, 225

“Disclose or abstain” principle of insider trading laws

, 386, 390

Discounted future cash flows

, 74

“Discreet affairs”

, 94–95

Distorting investment efficiency

, 188

Documentation and records

, 275

Dodd-Frank Act

, 118–119

Dodd–Frank Wall Street Reform and Consumer Protection Act (2010)

, 4, 242–243

Drug Enforcement Administration (DEA)

, 307–308

E-commerce fraud

, 282

Earnings before interest and taxes (EBIT)

, 327

Earnings management

, 134–135, 270, 325–327

individualism and

, 132–133

power distance and

, 130–131

Earnings per share (EPS)

, 327

Earnings quality

, 191

Economic entity principle

, 67–71

Emergency Economic Stabilization Act

, 193

Employee fraud

, 7–8

Employee retirement savings

, 343

Employment Rights Act (ERA)

, 247

Enforcement of law

, 138

Enron

, 344, 345–351

Entrepreneur(s)

, 221–222

fraud and entrepreneur profile

, 226–227

Equity

compensation

, 137

incentives

, 24

Estate taxes

, 364

Ethical tone

, 275–276

European Union (EU)

, 376

Ex-ante crowdfunding fraud detection

, 225–228

fraud and campaign characteristics

, 228

fraud and entrepreneur profile

, 226–227

Excise taxes

, 364

Executive certification

, 178–180

Executive compensation

, 169–172, 397

corporate executive compensation structure

, 173–176

Executive influence

corporate executive compensation structure

, 173–176

corporate governance

, 170–173

executive connectedness

, 176–178

executive lawyers

, 180–181

government regulation and governance metrics

, 178–180

External auditor

, 263

External governance

, 117–119

External tip-offs

, 335

Extortion

, 30–31

Fake sales

, 29

False Claims Act (1994)

, 242

Federal Bureau of Investigation (FBI)

, 88–89, 187, 288, 300, 344–345

Federal Law Enforcement Training Center (FLETC)

, 307–308

Federal Procurement Data System–Next Generation (FPDS-NG)

, 192

Federal Trade Commission (FTC)

, 234, 295

Femininity and fraud

, 134–135

Fictitious revenue

, 33

Financial accounting

, 322

principles

, 61

Financial Accounting Standards Board (FASB)

, 62

Financial Action Task Force (FATF)

, 362, 424

Financial Conduct Authority (FCA)

, 245–246

Financial crime

, 39

critical perspectives on rationalization

, 51–52

events

, 42

rationalization

, 40–52

review approach

, 41

Financial Fraud Enforcement Task Force (FFETF)

, 301–302

Financial markets

, 149

Financial reporting fraud

, 63, 85, 89–91

Financial Secrecy Index (FSI)

, 363

Financial statement audits

, 265–266

Financial statement frauds

, 7–8, 31–35, 321–322, 344

fraud detection

, 330–335

managers committing accounting fraud

, 327–330

sources of accounting error

, 322–327

watchdogs or bloodhounds

, 336–337

Finanziaria Centro Nord (FCN)

, 161

FinCEN

, 374–375

Firm management

, 63

Firm’s fraud

impact on peer borrowing conditions

, 214–216

impact on peer stock prices

, 211–214

Foreign Account Tax Compliance Act (FATCA)

, 375

Foreign Corrupt Practices Act

, 197

Forensic accountants

, 261–263

Forensic accounting

, 261–262

investigation services

, 263–264

litigation support services

, 264–265

Fraud. see also Corporate fraud

, 39, 50, 85, 87–91, 141, 221–222, 265–266, 325–327, 365–372, 441, 443

crowdfunding

, 223–225

culture and

, 128–136

diamond model

, 22

financial reporting fraud

, 89–90

measuring in statistical modeling

, 90–91

offenders

, 42–43

prevention and deterrence

, 273–276

proactively searching for

, 268–272

reactive approach to

, 272–273

risk procedures

, 131

scale theory

, 21–22, 52

section

, 302–304

triangle model

, 8, 21, 39–40, 107–108

Fraud detection

, 194, 330–335

abnormal changes in receivables

, 330–331

Benford’s law

, 333–335

company characteristics

, 330

speech patterns of senior executives

, 331–333

whistle-blowing and external tip-offs

, 335

Fraud Enforcement and Recovery Act (2009)

, 4

Fraud examiners. see Forensic accountants

Fraudsters

, 444

Fraudulent disbursements

, 28

Fraudulent offending

, 8

Fraudulent practice

, 20

Friendly fraud

, 286

Frugality

, 96

Full disclosure principle

, 65

Functional currency

, 64

Gatekeepers

, 373–375

General Data Protection Regulation (GDPR)

, 294

General Electric (GE)

, 76

Generally accepted accounting principles (GAAP)

, 8–9, 62–64, 265, 323, 344

Gift taxes

, 364

Global corporate scandals. see also Accounting scandals

, 425–433

Barings Bank

, 425–427

HIH Insurance

, 431–433

VW

, 428–430

Global Crossing

, 344–345, 355–358

Global Economic Crime and Fraud survey

, 85

Global financial crisis

, 85

Global Leadership and Organizational Effectiveness (GLOBE)

, 129

Global watchdog

, 425

Going concern principle

, 65

Golden parachutes

, 174–175

Grand juries

, 308–309

Grantor

, 367

Gray directors

, 23–24

Group of 20 nations (G20 nations)

, 375, 421

Hand-collection techniques

, 91

HDFC

, 410

HHS Office of Inspector General (HHS-OIG)

, 305–307

Hidden reserve

, 324

HIH Winterthur International Holdings Limited (HIH)

, 431

HIH Insurance

, 422, 431–433

HIH Royal Commission

, 432

Hofstede’s six culture dimensions

, 128

Holding Individuals Accountable and Deterring Money Laundering Act

, 374–375

HSBC

, 410

ICICI

, 410

Identified rationalization techniques

, 46–49

Identity theft

, 283

Illegal gratuity

, 30

Illicit online markets

, 282

Immigration and Customs Enforcement (ICE)

, 305–307

Improper asset valuation

, 34

Improper capitalization of assets

, 34–35

Inappropriate capitalization of assets

, 34–35

Income

smoothing

, 324–325

taxes

, 364

Indefeasible right of use (IRU)

, 356

Independent checks

, 274–275

Indictment

, 309

Individual integrity

, 95–97

frugality

, 96

philanthropy by stock donation

, 96

public service

, 96

religiosity

, 97

Individual risk-taking

, 93–95

Individual’s decision-making process

, 21–22

Individualism

, 128–129

and earnings management

, 132–133

and fraud

, 132

individualism and auditor’s behavior

, 133

Inductive approach

, 268–269

Indulgence and fraud

, 134–135

Information and communications technology (ICT)

, 13, 279

benefits

, 279–280

Information asymmetry

, 151–154

adverse selection

, 152–153

moral hazard

, 153–154

Information disclosure, timing of

, 390–394

Information technology (IT)

, 279–280, 403

Insider trading forms

, 392

Institutions

, 127

Intangible property taxes

, 364

Intellectual property (IP)

, 280

theft

, 288–289

Interest divergence

, 154–155, 161–162

Interlocking boards

, 397

Internal auditor

, 263

Internal compliance mechanism

, 243

Internal controls

, 273–274

Internal governance. see also External governance

, 110–117

audit functions

, 112–114

board structure

, 110–112

CEO–chair duality

, 115

corporate environment and internal controls

, 115–117

stock ownership

, 114–115

Internal Revenue Service (IRS)

, 366

International Accounting Standards Board (IASB)

, 62–63

International business company (IBC)

, 370–371

as shells

, 370–371

International Consortium of Investigative Journalists (ICIJ)

, 361–362

International Council on Clean Transportation (ICCT)

, 428

International Criminal Police Organization (INTERPOL)

, 425

International Financial Reporting Standards (IFRS)

, 33–34, 62–63, 265, 323

Intuition

, 45

Inventory

, 29

Investigation services

, 263–264

Journal of Forensic Accounting

, 263

Larceny

, 28

Layering of shell entities

, 374

Legal environment and fraud

, 136–143

deterrence effect of legal enforcement

, 141–143

enforcement of law

, 138

private enforcement

, 140–141

public enforcement

, 138–140

rules of law

, 136–137

Legislation level fight against fraud

, 233–234

Limited liability company (LLC)

, 362

as shells

, 365–366

Limited partnership (LP)

, 371

as shells

, 371

Litigation support services

, 264–265

Long-term orientation and fraud

, 134

Loosening credit

, 330–331

Lucky grants

, 396

Luxury goods

, 96

Malware

, 291–292

Management

bias

, 324–325

incentive schemes

, 154–155

Managerial power approach

, 171–172

Marital infidelity

, 94–95

Mark-to-market accounting

, 73–74

Market values

, 73

Masculinity

, 128–129

and fraud

, 134–135

Matching principle

, 77

Materiality principle

, 65–67

MCI Communications

, 352

McNulty Memo

, 301

10-K Mean Absolute Deviation (10-K MAD)

, 334

Measurement technology, limits of

, 323

Median duration of fraud

, 35

Merchant fraud

, 288

Microsoft Office

, 288

Midwest Medical Aesthetics Center, Inc.

, 366

Military service

, 96

Monetary awards

, 242–243

Monetary unit principle

, 64–65

Money, ideology, coercion, and ego model (MICE model)

, 22, 52

Money laundering

, 364–365

Monitoring costs

, 156–157

Moral disengagement processes

, 43–44

Moral hazard

, 153–154, 171

Mortgage-backed securities (MBS)

, 73–74

Motivations/incentives of CEO

, 445–446

Mumbai Stock Exchange

, 403

Narcissism

, 98

Narrative psychology

, 40–41

National culture. see also Corporate culture

, 10

and economic activities

, 129–130

measures

, 128–129

Neutralizations

, 42–44

New York Stock Exchange (NYSE)

, 112, 403

Nominees or directors in shells

, 371–372

Noncash assets, misuse of

, 28–29

Nonprofessional connections

, 176–177

Nonprosecution agreements

, 314–315

Nonrestatement years

, 329–330

Non–state-owned enterprises (non-SOEs)

, 213–214

Not-for-profit organizations

, 452

Obstructive conduct

, 25

Occupational fraud

, 321–322

Offshore asset protection trusts (OAPTs)

, 367–368

Online fraud. see also Parmalat fraud

, 286–288

affiliate fraud

, 288

clean fraud

, 286–287

friendly fraud

, 286

merchant fraud

, 288

triangulation fraud

, 287

Ontario, whistleblowing programs in

, 250–254

Ontario Securities Commission (OSC)

, 243

Ontario’s Securities Act

, 243–244

Opportunistic behavior

, 154–155

Opportunity

, 107

Optimal contracting approach

, 171–172

Option compensation

, 174

Option-based compensation

, 446

Organization for Economic Co-operation and Development (OECD)

, 424

Outside investigators

, 266–267

Overprovisioning

, 325–326

Ownership

structure

, 137

transparency

, 372

Panama Papers

, 361

Paradise Papers

, 362

Parmalat fraud

, 149–150, 160–163

interest divergence and private benefits

, 161–162

monitoring inefficiencies and fraudulent actions

, 162–163

Pay slice

, 99–100

PayPal

, 289–290

Peer firms

fraud and peer firms’ investment, financing, and operating decisions

, 208–211

imitation of fraud

, 206–208

Period costs

, 77

Personal financial affairs

, 95

Personal integrity

, 21–22

Personality traits

, 49–50

Personally identifiable information (PII)

, 283

Pharming

, 286

Philanthropy by stock donation

, 96

Phishing

, 283–284

Physical safeguards

, 274

Piracy

, 288

Platform level fight against fraud

, 230–232

Plea/trial/deferred prosecution

, 309–312

Policies

, 274

Political connections

, 188–194

and corporate policies

, 190–192

and government oversight

, 193–194

and public resource allocation

, 192–193

Post indictment

, 309–312

Power distance

, 128–129

and auditor’s behavior

, 131

and earnings management

, 130–131

and fraud

, 130

and whistleblowing

, 131–132

Practice director

, 350

Prepaid capacity

, 352

Pressure

, 107

Price Waterhouse India (PW India)

, 409

PricewaterhouseCoopers (PwC)

, 409, 421

Principal–agent agency conflict

, 149–150, 153, 171

Principal–agent conflict. see Principal–agent agency conflict

Principal–agent problem. see Principal–agent agency conflict

Principal–principal agency conflict

, 149–150, 160–163

Principle-based framework

, 62–63

Private

benefits

, 161–162

cause of action

, 243

enforcement

, 140–141

insurance model

, 234

Private interest foundation (PIF)

, 369

as shells

, 369–370

Product costs

, 77

Professional connections

, 176–177

Protector

, 369

Prudential Regulation Authority (PRA)

, 245–246

Public Company Accounting Oversight Board (PCAOB)

, 299, 316–317, 325–326

civil investigations by

, 315–317

Public

enforcement

, 138–140

resource allocation

, 192–193

service

, 96

Public Interest Disclosure Act (PIDA)

, 247

Quality label

, 231–232

Quebec, whistleblowing programs in

, 254–255

“Qui tam” system

, 242

Randomness

, 323–324

Ransomware

, 280, 292–293

Rationalization

, 8, 39–52, 107

critical perspectives on

, 51–52

explanation and examples of major techniques of

, 47–48

factors influencing

, 49–51

identified rationalization techniques

, 46–49

individual differences

, 49–50

operation

, 45–46

social influences

, 50–51

theories of

, 42–44

Reactive approach to fraud

, 272–273

Real estate taxes

, 364

Reasoning

, 45

Receivables, abnormal changes in

, 330–331

Red flags

, 356, 443–444

Religion

, 129

Religiosity

, 97

and fraud

, 135–136

Rent extraction

, 155

Reputational capital

, 226–227

Research and development (R&D)

, 158, 172

Residual losses

, 158

Restraint and fraud

, 134–135

Revenue recognition

fraud cases involving revenue recognition

, 76

for long-term contracts with deliverable good

, 75–76

principle

, 75–76

for sale of goods

, 75

for services provision

, 75

“Reverse incentive”

, 253

Reward effect

, 446

Robust fraud policy

, 275

Robust internal audit function

, 275

Round trip transactions

, 76

Sampling

, 265–266

Sarbanes–Oxley Act (SOX)

, 4, 112–114, 118–119, 156, 173, 178–180, 358, 389, 407–408, 423

Satyam Computer Services Limited

, 403

accounting scandal

, 404–415

audit failure and Satyam Scandal

, 409–411

causes of Satyam Scandal

, 406–411

consequences of Satyam Fraud

, 411–415

corporate governance in Satyam

, 406–408

false cash balances

, 405

overstatement of interest income

, 406

overstatement of revenue through fraudulent invoices

, 405

tone at top in Satyam

, 408–409

Schwartz’s measure

, 129

Securities Exchange Act (1934)

, 91, 243

Securities whistleblowing program

, 241

Segregation of duties

, 274

Self-dealing by corporate insiders

, 25

Self-interested behavior

, 155

Self-oriented motivations

, 445

Shareholder(s)

, 154–155

investments

, 343

Shelf corporations as shells

, 366

Shell company

, 362

Shell entities

, 361

entities used to commit tax evasion and other frauds

, 365–372

layering

, 374

policy responses to abuse of

, 374–376

providing secrecy

, 372–374

tax evasion and money laundering

, 364–365

white-collar criminals

, 363–365

Singapore International Monetary Exchange (SIMEX)

, 426

Skimming

, 28

Small-loss avoidance

, 335

Social engineering attacks

, 283–284

Social identity theory

, 51

Software systems

, 279–280

Spear phishing

, 283–284

Special Agent Investigative Techniques (SAIT)

, 308

Special agents

, 305–308

Special purpose entities (SPEs)

, 68, 344, 348

Speech patterns of senior executives

, 331–333

Spendthrift trust. see Asset protection trusts

Spillover effect

, 205–206

Spillover impact of corporate fraud

firm’s fraud impact

on peer borrowing conditions, 011

on peer stock prices, 011

fraud and peer firms’ investment, financing, and operating decisions

, 208–211

peer firms imitation of fraud

, 206–208

Spinning

, 354

Spring loading

, 388

Stamp taxes

, 364

Stanford’s Securities Class Action Clearing House (SSCAC)

, 89–90

State-owned enterprises (SOEs)

, 198–199, 213–214

Statement of Financial Accounting Concepts (SFAC)

, 62

Statement on Auditing Standards (SAS)

, 149

Statutory audit

, 160

Stealing noncash assets or inventories

, 29

Stock donation, philanthropy by

, 96

Stock market efficiency

, 190

Stock option

backdating

, 395

causes

, 396–397

manipulations

, 383–387

mechanisms

, 387–395

repricing

, 394

Stock ownership

, 114–115

Stock-based compensation

, 156–157, 328, 446

Suspected fraud

, 225

Swiss Bank Program

, 314–315

Swiss bankers

, 314

Tax Division

, 304

Tax evaders

, 364

Tax evasion

, 136, 364–372

Tax Justice Network (TJN)

, 363

Theft

of cash on hand

, 28

of cash receipts

, 28

Time period principle

, 78

Timing

of information disclosure

, 390–394

of stock option grants

, 388–389

Trade secrets

, 288–289

theft of

, 289

Transfer taxes

, 364

Trial attorneys

, 304

Triangulation fraud

, 287

Tripartite framework

, 45

Trojans

, 291–292

Troubled Asset Relief Program (TARP)

, 193

Trust company service providers (TCSPs)

, 361–362, 373–374

Trust(s)

, 367

triangle

, 226–227, 229

UK Bribery Act (2010)

, 197

Uncertainty avoidance

, 128–129

and fraud

, 133–134

United Kingdom, whistleblowing programs in

, 245–248

United States, whistleblowing programs in

, 244–245

United States Code (USC)

, 299–300

Unscheduled award strategy

, 387

Upper echelons theory

, 93–94

US Bankruptcy Code

, 354

US Environmental Protection Agency (EPA)

, 428

US Securities and Exchange Commission (SEC)

, 21, 62, 89, 110–111, 138–139, 160, 175, 190, 194, 207, 241, 299, 315–316, 327–328, 343, 387, 404, 441

civil investigations by

, 315–317

Use taxes

, 364

Value-added taxes

, 364

Variable interest entity (VIE)

, 67–68

VISTA trusts as shell entities

, 368–369

Volkswagen (VW)

, 422, 428–430

Watchdogs

, 336–337

Whaling

, 283–286

Whistleblowers

, 449

Whistleblowing

, 131–132, 241–244, 335, 448–449

policies

, 275

White-collar

crime

, 21, 88–89

criminals

, 3, 363–365

WorldCom

, 344, 352–355

Xerox case

, 149–150, 158–160

corporate governance failure

, 159–160

information asymmetry and assets

, 158–159