When to Report Accounting Fraud
Accounting fraud is the act of modifying accounting records, reporting false numbers, or prematurely releasing information about revenue or assets with the intent to mislead. A company may commit accounting fraud in order to exaggerate the company’s growth or to understate its losses. Unfortunately, accounting fraud can not only harm the business in the long run but may also put the investments of thousands of investors at risk.
If you believe that you are a victim of accounting fraud, it can be of vital financial importance to report your suspicions as soon as possible to protect yourself as well as other investors from potentially devastating financial losses. To discuss your situation, contact a knowledgeable accounting fraud class action attorney from Feazell & Tighe, LLP, at 877-508-0588 today.
Detecting Accounting Fraud
There are many different types of accounting fraud that an employee or business may attempt to use to modify its records and reports. Some common types of accounting fraud include:
- Hiding or under-reporting losses and costs
- Exaggerating or over-reporting gains and assets
- Failing to adhere to the Generally Accepted Accounting Principles (GAAP)
- Prematurely reporting revenue to overemphasize success
Detecting accounting fraud can be a difficult task unless you have inside information on a company’s performance. If a company’s reports contradict other news or information that you’ve heard as an investor, employee, or other interested party, consider consulting with an accounting fraud class action lawyer.
Reporting Accounting Fraud
Anyone who has information about or an interest in a company may report evidence of or suspicions of accounting fraud. Employees, executives, partners, investors, and others all have a stake in a company’s performance and could stand to lose significant assets if a company is committing accounting fraud.
Not only is accounting fraud a crime, but those who are negatively affected have the right to pursue civil damages for their losses. A class action lawsuit can help you recover compensation for any investments or other assets that you have lost due to fraud. Additionally, reporting accounting fraud can also help to set an example for other companies that may be tempted to use the same fraudulent tactics.
Contact Us
To learn more about accounting fraud and how a class action lawsuit can help to replace your losses, contact the accounting fraud class action lawyers of Feazell & Tighe, LLP, today at 877-508-0588.
