Earning Managements

In: Business and Management

Submitted By Norpadilah
Words 251
Pages 2
Accounting fraud is a fraud or irregularities occurring because of the interests of certain parties in a company. Accounting fraud also occurs due to protect the interests or reputation of the company to obscure the eyes of outsiders. This act is illegal and shows unethical behavior because it does not show the transparency and integrity of a company in presenting its financial statements in order to grab the attention of outsiders to invest in the company or to preserve the reputation of companies that seem stable.

Accounting fraud also can be describe as intentional misrepresentation or alteration of accounting records regarding sales, revenues, expenses and other factors for a profit motive company such as inflating stock values, obtaining more favorable financing or avoiding debt obligations. Employees who commit accounting fraud at the request of their employers are subject to personal criminal prosecution.

Therefore, we have carried out projects concerning fraud for which we have selected Silver Bird Group Berhad as object of our project. This project is aimed to gain a better understanding of how and why accounting fraud can happen in this company. As we get information about this company that Silver Bird Group Berhad involves in the financial statements fraud as stated by the Bursa Saham Malaysia in the press release dated 11 September 2013. Securities Commission Malaysia (SC) charged two former directors of Silver Bird Group Berhad (Silver Bird) because in year between 2010 and 2011 Silver Bird has furnishing false information to Bursa Malaysia Securities…...

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