Trump's Accounting Firm Retracts Financial Statements

[applegrove]

Trump’s Accounting Firm Retracts Financial Statements

February 14, 2022 at 4:05 pm EST By Taegan Goddard 140 Comments

https://politicalwire.com/2022/02/14/trumps-accounting-firm-says-financial-statements-not-accurate/

"SNIP.......

“Donald Trump’s longtime accounting firm abruptly cut ties with his family business last week amid ongoing criminal and civil investigations into whether Mr. Trump illegally inflated the value of his assets,” the New York Times reports.

“The accounting firm notified the company of its decision and disclosed that it could no longer stand behind annual financial statements it prepared… The letter instructed the Trump Organization to essentially retract the documents, known as statements of financial condition, from 2011 to 2020.”

Daily Beast: “The bombshell move by Mazars USA was revealed in court filings in New York on Monday.”

.......SNIP"

[Walleye]

1. So are they saying, those statements we prepared are full of shit? What does that say about Mazars?

[brer cat]

2. I hope Mazars is about to flip.

Although I don't know how they can suddenly disavow a decade of financial reports.

[Demsrule86]

3. They could have lied to the firm as well...when you are an accountant you rely on documents

provided by the client.

[SonofBen]

5. Unless they are certified statements

Which is what a CPA (Certified Public Accountant) does.

I'm a bit skeptical.

[lame54]

7. They think by severing ties they can just walk away

[Scrivener7]

4. Does that nullify those statements and get tfg off the hook for them?

[sheshe2]

6. I see it in a different light.

I see it as they are trying to get themselves off the hook and throwing DT and family under the bus.

[Scrivener7]

8. I am hoping that is it.

I've watched this guy slither out of everything for 40 years and ruin family friends. I REALLY hope you are right about it.

Hopefully an accountant can tell us.

[sheshe2]

11. I hope so too.

My opinion, I don't think many are willing to take the fall for DT. He becomes more toxic as the shoes continue to drop.

[Scrivener7]

12. I can't believe this is finally happening after all this time.

I wish my dad was alive to see it. It was his friends that tfg bankrupted because it amused him to do so. And until now he has never paid a price for the evil he did.

[sheshe2]

14. Look at the news about Rudy

He has done an about face and will talk to the commission. Hmmm, bet the lily livered POS is spilling his guts.


Hugs to your departed dad and yourself, Scrivener.

[Scrivener7]

16. Back at you, my dear!

[sheshe2]

17. Thanks.

We lost another strong Democrat.

[Ocelot II]

9. I guess some accountants at Mazars don't want to go to jail,

or lose their accountants' licenses?

[spanone]

10. It appears FRAUD was committed.

[C_U_L8R]

13. Meanwhile, Eric is desperate looking for the calculator app.

Mazars seems to running from that stinking Trump cabal as fast as they can.

[yardwork]

15. Wait, what?!

I don't think they can just do that.

[localroger]

18. My interpretation of what this means

Normally an accountant trusts their client to give them valid materials to work with, and their fig leaf is that "our client gave us this." What I think is happening here is that so much has come out so quickly revealing that the source materials are crap that Mazars has decided to cover its ass and admit that, on review, it is not possible that all of the materials they were given to work with are trustworthy, and so all the documents we prepared with them are suspect. This is probably the basis for them to revoke their professional endorsement of those documents, which now leaves Donnie and fam in the lurch to provide those documents required by law that are properly certified.

[GB_RN]

19. This Is The Type Of Thing That Killed Arthur Anderson...

Which was the accounting firm for Enron, back in the early 00s. As the auditor for Enron, "[f]ollowing the 2001 scandal in which energy giant Enron was found to have reported $100bn in revenue through institutional and systematic accounting fraud, Andersen's performance and alleged complicity as an auditor came under intense scrutiny. The Powers Committee (appointed by Enron's board to look into the firm's accounting in October 2001) came to the following assessment: 'The evidence available to us suggests that Andersen did not fulfill its professional responsibilities in connection with its audits of Enron's financial statements, or its obligation to bring to the attention of Enron's Board (or the Audit and Compliance Committee) concerns about Enron's internal contracts over the related-party transactions'."

Acting as accountant for the tRump organization (and as tRump's personal accountant, IIRC) Mazars had a legal duty to report dubious/fraudulent accounting practices by tRump and they didn't do so. They're reacting this way now, in order to try and stem any legal ramifications (possibly as part of a back door cooperation agreement).

See, shit like this is why they have to teach "business ethics" in business school. Obviously, those lessons don't sink in. Ethics, rules and laws are only for the little guys, I guess. 🙄

[twodogsbarking]

20. You nailed it. They understand business ethics. Accountants know

when they are crossing the line. Some will do it some won't.