You have to lie to clients/customers by saying you comply with with PCAOB standards, fabricate audit reports for over 500 companies while actually failing to conduct real audits, resulting in a negatively affected 1,500 SEC Report filings.
This usually includes things like Annual SEC Filing 10-K reports and Quarterly 10-Q reports, both watched heavily by investors.
TBH a lot of them probably reported the red flags right away, since with 500 companies you could generate that many reports in 1 to 3 quarters, meaning this decision came comparatively quickly to your average court proceedings.
I'll bite, there's an equal chance that Biden gets 4 more years, and there's still a chance for one of the 90+ indictments to give some sort of consequence for trump.
And you never know, the constant campaigning and pressure can end up being too much for his frail body.
One could only hope that he has a heart attack or a stroke big enough to ruin him but leave him alive enough to suffer for the rest of his life. It's my sincere wish that he ends up as a vegetable that gets to watch his worshippers dump him like the flavor of the month he is.
I wouldn’t wish it on anyone else and don’t generally wish ill will but I would read with satisfaction if Trump was diagnosed with Pontine locked in syndrome.
We all know that if Trump were found guilty and sentenced to jailtime, he'll get off with "he's too old and feeble" or "he's not mentally competent to sit in a cell" or some such. The only thing keeping from pulling this stunt is the hope that he'll get elected in 2024.
I can't read the previous comment but I see we're talking about Trump getting jailtime in this thread about jailtime for fraudulent Auditors:
So, technically, BF Borgers CFA is the firm in question committing fraud and they are the accounting firm who generated reports for Trump and Truth Social, but they also committed fraud on/for like 500 other companies. It's not that Trump owns and operates Borgers.
Sure, it’s possible Trump wasn’t aware of the fraud, nor encourage it, nor ok with it, and it’s possible he somehow isn’t responsible for the actions of the companies he runs. It’s possible he was defrauded rather than enriched. Does that really seem likely?
I mean, yeah. He's not exactly well known for selecting the brightest minds for every job.
Trump's a piece of shit, but he doesn't run BF Borgers. He just hired them to do a job that they didn't do, just like at least 500 other companies have.
SEC is only responsible for regulating, they have no ability to try/convict/imprison. I believe they did refer this case to the FBI.
Just to point this out, I think prison sounds like a fine idea for this guy, but he's been dealt a serious blow. Besides being fined 16M (2M personally), he's likely lost his ability to earn as an accountant. I doubt he could get a job as a cashier at this point.
It wasn't an IPO, it was an existing company acquiring Truth Social. And yes, it has everything to do with that massive valuation.
If Truth Social had done an actual IPO, their financials would have been subject to public scrutiny ahead of time and the IPO would likely have never gone forward. But since this was an acquisition, much of that financial due diligence was solely the responsibility of the acquiring company. So all of that stuff could remain secret until after the fact.
The penalty doesn't state that any particular companies' filings had incorrect data, though. It just says that the auditor said it followed standard accounting practices, when it did not. And it happened with 1500 different filings, of which Trump Media was only one. Still, it doesn't take a rocket scientist to realize the reason why this auditor ignored those standards, they might have gotten in the way of the pre-determined result they wanted to get for their clients
Slight correction, Truth Social was one of more than 500 companies with more than 1,500 fraudulent reports generated. Not one of 1,500 companies. SEC Reports usually include quarterly 10-Q and annual 10-K forms, among others, that are heavily monitored by investors, which is why the regulation on their accuracy is very strict.
The auditing firm for Trump Media and the auditor’s owner were charged Friday with “massive fraud” by the Securities and Exchange Commission for work that affected more than 1,500 SEC filings, the federal regulator announced.
The auditor, BF Borgers CPA and its owner Benjamin Borgers have agreed to be permanently suspended from practicing as accountants before the SEC, and also agreed to pay a combined $14 million in civil penalties, without* admitting or denying the allegations, the SEC said.
So we didn't find out that the SEC thought this auditor committed criminal conduct until the SEC had already negotiated this settlement where they don't have to admit any wrongdoing? Bang up job enforcing the laws there guys, that will definitely deter this kind of conduct from other bad actors in the accounting industry /s
*The article actually says "with" there, but the SEC post it links to says "without," so I'm fairly certain that was a typo in the news article
e; It really should go without saying, but since the conversations on this website have effectively reduced my whole personality to "why aren't more people talking about how this Democratic administration's handling of the federal government is falling short of what that party says they stand for," I feel like I should say I doubt we'd see even this pittance of enforcement out of a Republican government, so, yeah, I sincerely hope these pathetic losers get another four years to keep disappointing me because the alternative is still a hell of a lot worse
Gary gensler just got caught illegally trading crypto soooo. They're all good old boys breaking the law together and paying "fines" that are just the cost of doing business. The SEC is worse than useless, they're too busy watching porn to do their jobs.
That’s just the woke librul mind virus talking. Here, eat some fused dead animal parts and spend your savings to buy imaginary trump dollars! Slavery was helpful to everyone! There ya go - America Greating!
