Fraud case | Marketing homework help


Levon  Helm was a kind of one-man mortgage broker. He would drive around  Ten-nessee looking for homes that had second mortgages, and if the  criteria were favor-able, he would offer to buy the second mortgage for  “cash on the barrelhead.” Helm bought low and sold high, making sizable  profits. Being a small operation, he employed one person, Cindy  Patterson, who did all his bookkeeping. Patterson was an old family  friend, and he trusted her so implicitly that he never checked up on the  led-gers or the bank reconciliations. At some point, Patterson started  “borrowing” from the business and concealing her transactions by booking  phony expenses. She intended to pay it back someday, but she got used  to the extra cash and couldn’t stop. By the time the scam was  discovered, she had drained the company of funds that it owed to many of  its creditors. The company went bankrupt, Patterson did some jail time,  and Helm lost everything.Requirements1. What was the key control  weakness in this case?2. Many small businesses cannot afford to hire  enough people for adequate separa-tion of duties. What can they do to  compensate for this?> Fraud Case 8-1 

For this assignment, you will discuss how Christian principles can be  applied to an accounting fraud case. In a 500-750-word paper, 

  1. In approximately 100 words, briefly summarize the issue in your own words.
  2. In  approximately 450-600 words, address this issue from a Christian  worldview as it relates to decision making and ethics. What guidance  could be applied to understand and resolve the issue?. 

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