Posted October 03, 2018 06:37:25If you’re not aware of your accountants errors, you’re potentially putting yourself at risk of losing millions of dollars.
According to the U.S. Consumer Product Safety Commission, over 2 million people were charged a bogus amount in 2016.
That number, according to the report, is higher than all but five years of prior years.
The report details the problem in three categories: “errors in judgment,” “inconsistent and inconsistent reporting,” and “unwarranted and deceptive claims.”
Here’s what you need to know about how to fight fraud and fraudsters.1.
Errors in JudgmentThe Consumer Product Law (CPL) makes it a crime to falsely charge a consumer an amount greater than the amount actually paid, and it also makes it illegal to make false claims of financial harm or loss.
The CPL requires consumers to file an account with the Consumer Financial Protection Bureau (CFPB), which is an agency of the U of S Department of Labor.
The CFPB can investigate complaints and issue warnings.2.
Inconsistent or Inconsiderate ReportingThe CFPP requires accountants to report errors in their reporting to the agency, but it doesn’t require them to tell you.
The agency can, however, issue a warning and issue an order to correct the error.
This can happen, for example, when an accountant or other employee doesn’t report an error.3.
Unwarranted Claims of Financial Harm and Loss”It’s not uncommon for the auditor to report that the claim is not justified and to give you more information about the error,” said David E. Baughman, chief counsel of the National Association of Accountants.
“It’s really the auditor’s job to report what the auditor thinks happened, but if the auditor is mistaken, it’s your responsibility to correct that error.”4.
Unnecessary and Deceptive ClaimsThe CPAB has issued guidelines that set out what an auditor should say about a claim, and when to correct it.
The rules are written in clear language and easy to understand.
The U. S. Department of Treasury’s Office of Inspector General has issued guidance on fraud and abuse that has been used by the CPABs.
The guidelines are also available online.5.
Fraudulent and Unwanted Claims”I want to get back to the fact that this is fraud and I want to make sure that you’re aware that it’s not legitimate,” said Mark Hirsch, a former accountants general counsel at the CFPBs.
“They’re not making it up.
They’re making it worse,” he added.
The Consumer Financial Freedom Act of 2012 requires that the CPPBs have a whistleblower program, which is also available to accountants.
The law states that employees who report fraudulent or unfair behavior to the CSPB are protected.
But the law doesn’t include an agency that will investigate and prosecute fraudulent or unethical practices.
The American Bankers Association and other advocacy groups have urged Congress to pass the Banking Transparency Act, which would create a whistleblower protection program and require that the U:CFPBs provide information to the Office of Personnel Management about the number of whistleblowers who report fraud.