Former Crazy Eddie CFO, former CPA, and convicted felon. Forensic accountant/whistleblower cases. Teaches law enforcement and professionals how to catch crooks.
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Mar 2, 2021 • 12 tweets • 2 min read
Today is the 35th anniversary of Crazy Eddie's infamous Panama Pump money laundering scheme.
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First, a primer on the economics of income tax evasion and securities fraud to better understand Crazy Eddie's Panama Pump money laundering scheme.
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Mar 2, 2021 • 6 tweets • 2 min read
I’m going to make this plain and simple:
•Audits are a myth.
•It doesn’t matter which accounting firm is doing the audit, Big 4 or a smaller firm.
•Real audits are too cost prohibitive.
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•What are called “audits” today are merely limited reviews of financial statements designed to catch the accounting equivalent of grammatical errors and typos (like the review tool used in Microsoft Word).
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Oct 16, 2020 • 4 tweets • 1 min read
Crazy Eddie Memoirs: None of the BIG 4 accounting firms are any good when it comes to so-called audits. In fact, there is NO SUCH THING as audits of public companies. The use of the term "audit" is false, misleading, and gives investors a false sense of security. [thread 1/4]
At best, so-called audits as they are conducted today are limited reviews of financial reports similar to the grammar/spellcheck feature on MS Word. [thread 2/4]
Nov 24, 2017 • 10 tweets • 2 min read
Tip for Fraudsters: You get a bigger bang for the buck overstating income and overpaying taxes as public company than understating income and evading taxes as a private company. 1/2. For example, assume a 40% income tax rate. If you understate earnings by $1 million, you save $400k in taxes.
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