Not ready for hackers

Posted by & filed under Accounting Careers, Auditing.

Description: A report released on Tuesday, February 24, by security firm FireEye showed that roughly 70 percent of companies suffering data breaches last year found out about it from someone outside the organization. Police agencies and customers, for example, may notify a company before anyone inside the organization realizes they have been hit by cyberattack…. Read more »

SNC-Lavalin charged for bribery

Posted by & filed under Auditing, Ethics.

Description: SNC-Lavalin, the Canadian engineering giant, has been charged by the RCMP for bribery. These charges stem from SNC-Lavalin’s alleged bribes to Libyan officials of at least $47.7 million. The company could also face additional charges according to the Globe and Mail. Source: Globe and Date:  February 19, 2015 Link: Discussion Points: 1)… Read more »

Modernizing shareholder governance

Posted by & filed under Auditing, Corporate Governance, Financial Reporting and Analysis.

Description: Last Thursday Canadian Securities Administrators labelled the shareholders’ voting system in Canada “antiquated and fragmented”. This “antiquated and fragmented” approach has lead to miscounts in votes by shareholders at corporate meetings, generating complaints that more votes are cast than the number of outstanding shares in the company. Handling of proxy votes appears to be… Read more »

A long-running dispute

Posted by & filed under Accounting Careers, Auditing.

Description: It has been dragging on for over 20 years. But now, a $220 million offer from Coopers and Lybrand, Chartered Accountants, has been put forward to take care of all claims resulting from the failure of Castor Holdings in 1992. Coopers Lybrand, which subsequently merged with Price Waterhouse, was the auditor of Castor Holdings,… Read more »

Life insurance and macadamia nuts

Posted by & filed under Advanced Accounting, Auditing.

Description: When you think of Manulife Financial Corp, you probably think of life insurance. But you may be surprised to learn that the company has diverse investments ranging from timber to  renewable energy to macadamia nuts. A broader range of investments helps the company compete in the wealth management business while offering growth potential. Source:… Read more »

Concerns raised on car loans

Posted by & filed under Auditing, Financial Accounting.

Description: Auto and finance industry executives are voicing misgivings over the move towards long-term car loans of seven or eight years. The big fear: car owners will start returning vehicles prior to the expiry of the loans, creating a dilemma when they try to finance a new vehicle while the original car loan exceeds the… Read more »

And speaking of corruption . . .

Posted by & filed under Accounting Careers, Auditing, Canadian Economy, Canadian Government, Ethics, Financial Reporting and Analysis.

Description: Canadian companies have been lobbying the federal government to delay implementing its new anti-corruption rules. Public Works and Government Services Canada has been threatening to de-list suppliers – including major names such as HP and Siemens – for up to 10 years because of convictions for corruption in foreign countries. Public Works points out… Read more »

Kia, Hyundai pay $100 million fine

Posted by & filed under Auditing, Ethics, Uncategorized.

Description: It’s a tad more than your average traffic ticket. Automakers Hyundai and Kia (which are both controlled by Hyundai) paid $100 million in fines for over-stating gas mileage figures on automobile window stickers. The overstatements were detected by the US Environmental Protection Agency in its audits of audit company test results. In addition to the… Read more »

Canadian companies; US politics

Posted by & filed under Accounting Principles, Auditing, Contemporary Business Issues.

Description: Following a 2010 US Supreme Court decision, Canadian companies have joined with their US counterparts, directing funds towards lobbying and political financing. Large organizations such as Power Corp, RBC, Encana and Barrick Gold have entered the field. The Shareholders Association for Research & Education (SHARE) has raised some serious questions of accountability regarding this political… Read more »

Are Insurers Prepared?

Posted by & filed under Advanced Accounting, Auditing, Contemporary Business Issues.

Description: The Ceres’s Insurer Climate Risk Disclosure Survey has shown that insurers are not properly prepared for the risks and opportunities that accompany climate change. Storm frequency and intensity is on the upswing. But the survey, covering over 300 companies and roughly 90% of the insurance premiums in the United States, shows that many insurers are not… Read more »