Fraud: Ultro and Enormo

The implication of this illegal act attached by Ultras management is committing fraud, so they are ultimately responsible for what happened. They sell automobiles that were fully depreciated on Ultras books to employees to generate an additional $50,000 in foreign currentness which is illegal all with in itself.They also knew the Caribbean res publica in which they were run out of has strict laws governing the ranchers of funds to other countries, but an employee static went out of his/her way to smuggle $50,000 of foreign currency out of the Caribbean country so it could be deposited in one of ample bank accounts. c formerlyrn did nonhing to stop this employee from smuggling the money out of the country and well-nigh likely sanction the action. Enormous and Ultras management does not seem to fretfulness about these illegal actions and does not want to take any measures to collapse these Issues In the future, even though they are fully responsible.B. ) If the certified publi c accountant unassailable suspects that Enormous management is Involved In noncompliance (which they are), they should communicate the liaison to the next take aim of authority in the organization. If Enormous next level authority is not cooperating, the firm should obtain their own legal advice from outback(a) of Enormous legal team. Since they have already committed fraud once with this illegal action, the CPA firm should take a deeper look Into Enormous financial records to see If these types of Illegal transactions eave happened In years past.C. ) I personally would report the Illegal act because It would be unethical not to even though It Is a small amount of money. Not only(prenominal) Is my reputation at stake, but so Is the reputation of my entire CPA firm. If I were to Ill about one companies financial records, I would be Jeopardizing any future business with other clients If I were to get caught. It Is incessantly better to report everything you find In an audit so slide fastener comes back to negatively Impact you and your firm.