What Investors Need To Know About Audits
I provided a keynote presentation on Luckin Coffee and Wirecard for CFA New York and Baruch College on Feb. 22
You can find a replay of the program and a link to my slides here.
The Luckin Coffee and Wirecard frauds
What particular accounting issues were involved?
Why should US investors care about frauds at a Chinese company and German company?
Short interest, whistleblowers, and media scrutiny
What did the companies do to respond to this criticism?
Was it the response investors should expect?
When was the fraud acknowledged by the companies?
What were the auditors’ responses
To short sellers?
To media scrutiny?
What is the auditor’s role in corporate investigations?
Should these auditors have done something different?
What’s happening now with the companies and their auditors?
© Francine McKenna, The Digging Company LLC, 2020