You are an associate at ABC LLP, a forensic accounting firm. Your company is retained by...

60.1K

Verified Solution

Question

Accounting

You are an associate at ABC LLP, a forensic accounting firm.Your company is retained by the Law Firm that is representing aclient. The client, the former CFO of the Public Company, is beinginvestigated by the SEC and FBI for running a large accountingfraud scheme and funneling money to his own account after allegedlyfalsely invoicing sales during 2013 and 2014. The Auditing Firm,which was recently terminated, audited the Public Company andissued opinion letters in connection with the Public Company’s 2013and 2014 annual reports.
You are just getting up to speed on the case, but the ABCPartner asked for you to help analyze the issue in connection withthe Law Firm.
Assume that you are in a meeting with the Law Firm aboutadvising the CFO on options for defending an SEC investigation /FBI investigation. Describe to the group your understanding of:
a. Advice of Counsel Defense
b. Good Faith Defense
c. Fifth Amendment (testimonial and documen

Answer & Explanation Solved by verified expert

4.3 Ratings (959 Votes)

Advice of counsel defence The law of the land allows the accused to put forward his her or its point of view to defend the allegations made against the party Advice of counsel defence is allowed to be provided under the law without any penalty Thus the accounting firm has the legal right to provide advice to its See Answer

Get Answers to Unlimited Questions

Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!

Membership Benefits:

Unlimited Question Access with detailed Answers
Zin AI - 3 Million Words
10 Dall-E 3 Images
20 Plot Generations
Conversation with Dialogue Memory
No Ads, Ever!
Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!

Become a Member

Transcribed Image Text

You are an associate at ABC LLP, a forensic accounting firm.Your company is retained by the Law Firm that is representing aclient. The client, the former CFO of the Public Company, is beinginvestigated by the SEC and FBI for running a large accountingfraud scheme and funneling money to his own account after allegedlyfalsely invoicing sales during 2013 and 2014. The Auditing Firm,which was recently terminated, audited the Public Company andissued opinion letters in connection with the Public Company’s 2013and 2014 annual reports.You are just getting up to speed on the case, but the ABCPartner asked for you to help analyze the issue in connection withthe Law Firm.Assume that you are in a meeting with the Law Firm aboutadvising the CFO on options for defending an SEC investigation /FBI investigation. Describe to the group your understanding of:a. Advice of Counsel Defenseb. Good Faith Defensec. Fifth Amendment (testimonial and documen