Accounting Internal Control Procedure Case Study Homework Help
Best UK USA UAE Australia Canada China Accounting Internal Control Procedure Case Study Homework Help Service Online
The largest fraud ever to be perpetrated in Australia was HIH, a fraud that was discovered in 2002. The HIH fraud was concealed for years by an executive who changed his behaviour to intimidate other so that they did exactly what he wanted. By becoming almost totalitarian, he was able to do anything he wanted Here is the case story.
HIH was one of Australia’s biggest home building market insurers. HIH was the underwriter for thousands of professional indemnity, public liability, home warranty, and travel insurance policy. HIH was started in 1968 by Raymond Williams and Michael Payne. Michael Payne was chief executive of the UK operation until 1997, when health problems forced hi to limit his activities in the company. He became chairman of the main UK entity in 1999. He was an executive director of the holding company from 1992 until June 1998 and nonexecutive director from July 1998 until September 2000.
Raymond Williams was the chief executive for HIH from its inception in 1968 until October 2000. Other key employees were George Sturesteps and Terrence Cassidy, who became members of senior management in 1969 and 1970, respectively. They both held their position until September 2000 and March 2001, respectively.
Williams was the dominant member of management at HIH. Although man close members of upper management had been with him for over 25 years, they were reluctant to tell him how to run the business, give suggestion, or question Williams’ motive and business decision. The Royal Commission report, which summarizes the Australian government’s investigation of HIH, suggested that a lack of strategic direction and questioning authority set the stage for the eventual downfall of the HIH insurance group. If asked about the strategic goal or mission of HIH, the report states that neither Williams nor the board of directors would have been able to explain them. Although HIH was a public company that had grown quickly, the report states that Williams continued to run HIH much like the small company it had been when it first started. That is, he made most of the decisions, used business accounts as personal accounts, overrode internal controls, and so forth.
Within an environment dominated by a larger than life CEO, Ray Williams, the board presided over a string of ill fated expansions- costing HIH more than $3 billion- without ever analysing the group’s strategy or assessing its risks. Although the Royal Commission report points to many different ancillary reasons for the HIH downfall, they summed up the main problem as follows. HIH did not provide properly for future claims and the failure of all involved to understand the degree of the shortfall. Apparently, HIH’s financial statements were misstated because of inflated profits, overstated accounts, and understand liabilities. According to the report, all other problems were supportive in nature and helped to promote HIH’s downfall.
It has been argued that HIH didn’t fail because of any systemic fraud but because of two influences. First, HIH had a flawed business model which consistently underprovided for its claims. Second, HIH’s governance structure, including board and senior management, were ineffective since they allowed Williams to dominate their decision.
HIH’s dysfunctional governance structure led to several factors that are common in organizations that are perpetrating massive fraud. First, an insufficient independence of mind to see what had to be done and what had to be stopped or avoided. Also, risk were not properly identified and managed. Unpleasant information was hidden, filtered or sanitized. Finally there was lack of sceptical questioning and analysis when and where it mattered.
This case brought the effectiveness of regulatory organizations into serious questioning. Virtually no one who had any involvement with HIH escaped unscathed. HIH experience an near total breakdown of governance and supervisory structures. None of the checks and balance within the systems functioned. The people involved failed to meet their responsibility.
How it Works?
How it Works?
Step 1:- Want to buy solution for this. Please click on submit your assignment here and then fill all details and please mentioned product code at the end of the case. Product code is extremely important to locate your assignment. You can also mail us by keeping product code as mail subject to firstname.lastname@example.org
Step 2:- As soon as we received your details, we will inform you with through email about quotations of the given assignment. Requesting you to please mention your budget. Also ensure our email email@example.com should not go into your spam folder.
Step 3:- Once you agree with our price, click on pay now and pay the agreed amount and once we received the payment assignment will be delivered before agreed deadline.
Step 4:-You can also call us in our phone no. as given in the top of the home page or chat with our customer service representatives by clicking on chat now given in the bottom right corner.
Our Features for Assignment Help Services
Plagiarism Free Solution
The first and foremost things that we promise to our customer is plagiarism free solution i.e. a complete and unique solution as per customer’s university requirements.
Excellent Customer Care Services
You can feel our responsiveness once you use our service. Our team of excellent and dedicated customer service representatives are always ready to provide best customer care service 24X7 . Just drop a mail to firstname.lastname@example.org and you can receive response in just no time.
Multiple Stage Quality Assurance
We design a unique multiple stage quality assurance team to ensure plagiarism free, original, relevant and as per customer’s requirements. We not only give importance to accurate solutions or writing but also we give equal importance to references style too.
Privacy and Confidentiality
We believe in maintaining complete privacy and confidentiality of all our clients. None of the information furnished to us is shared with anyone else.
We receive requests from clients all over the World. Most of our customers are from USA, UK, Australia, Canada, UAE, Muscat, Oman, Qatar, UAE, New-Zealand, France Germany etc.
- Accounting Homework Help
- Accounting Assignment Help
- Computer Science Homework Help
- Management Homework Help
- Finance Assignment Help
- Online Essay Writing Help
- Strategic management case study help
- Case Study Assignment Help
- Dissertation Writing Help
- Trade finance case study help
- Project Management Assignment Help
- Mechanical Engineering Homework Help
- Online Quiz Help
- Maths homework Help
- Online Exam Help
- Economics Assignment Help
- Economics Homework Help
- English Homework Help
- Macroeconomics Homework Help
- Microeconomics Homework Help
- Statistics Assignment Help
- Australia Taxation Homework Help
- Supply chain management homework help
- Taxation homework help
- USA taxation assignment help
- Advanced accounting homework help online
- Auditing homework writing help
- Human resource management homework help
- Nursing homework help online
- Psychology homework help online
- Sociology homework help online
- Ratio analysis homework help online
- Strategic Management Homework Help Online
- Mba operations management homework help
- Human resource management homework help
- Operations management homework help
You are required to prepare your suggestion and recommendation report on the ground of HIH case to ensure that such a collapse cannot happen again if the organization systematically maintain and implement internal control procedure. You have to also explore using the given reference or your own effort that what were other some possible gaps in the internal control procedure in case of HIH.
Word limits 2000 words without reference.
Product Code: ACC556
Looking for Accounting Internal Control Procedure Case Study Homework Help, please submit your details here with product code mentioned above.