Bank of Jilin was cheated

Recently, the reporter found that the financial fraud of Dalian Changbo Logistics Co., Ltd. (hereinafter referred to as Changbo logistics) had increased the profit by 1.4 billion yuan in four years. The accounting firm that audited the company did not conduct on-the-spot examination on the accounts of the enterprise or provide correspondence on the relevant data, but issued the audit report according to the accounting statements provided by Changbo logistics.
Therefore, Changbo logistics obtained a bank loan of 580 million yuan in Dalian Branch of Bank of Jilin by using false financial statements and audit reports. The loan has not been repaid yet, resulting in a loss of at least 654 million yuan (up to December 18, 2018) of the bank’s Dalian branch with interest and principal.
4-year virtual increase profit of 1.4 billion yuan
Back in 2015, Changbo logistics applied to Dalian Branch of Bank of Jilin for a loan of RMB 580 million. In the process of handling the loan, Changbo logistics provided the audit report of the company from 2011 to 2014 issued by Dalian Shenming accounting firm (hereinafter referred to as Shenming accounting firm) to Bank of Jilin.
However, among the four reports issued by Shenming office, only the audit report of 2011 was that Liu, the director of Shenming office and legal representative of Shenming office, took a person to Changbo logistics office to audit and retained the audit manuscript. However, Shenming office did not carry out necessary inquiry, correspondence and other procedures.
In the other three annual audit reports, Liu did not conduct on-the-spot review of the enterprise accounts, nor did he confirm the relevant data. Only according to the accounting statements provided by Changbo logistics, the audit report is issued, and there is no relevant audit draft.
The reporter of “daily economic news” carefully compared the net profit in the audit report issued by Shenming office with the profit actually recorded in the book of Changbo logistics, and found that the virtual increase of Changbo logistics profit in four years had reached 1.4 billion yuan.
Based on the false financial statements and audit reports, Changbo logistics obtained a bank loan of 580 million yuan in Dalian Branch of Bank of Jilin, which has not been repaid up to now. According to the appraisal of Liaoning Ningda Accounting judicial appraisal institute, as of November 21, 2018, the loan balance of Changbo logistics in Dalian Branch of Bank of Jilin was 57999500 yuan, and the interest was 92776000 yuan. As of December 18, 2018, the loan principal and interest of Bank of Jilin Dalian Branch has lost at least 654.4 million yuan.
Liu Mou, the head of Shenming office, confessed the fact that Shenming office issued 4 false audit reports for Changbo logistics, but he only admitted that it was “due to irresponsible work and negligent behavior” and denied deliberately issuing false audit reports.
Liu argued that he did not participate in the actual audit of the accounts of Changbo logistics company and “left the pot” to the assistant staff of the firm. He said that the audit of the accounts of Changbo logistics company was actually operated by the assistant staff of his firm who did not have the qualification of auditor. Due to the limitations of the assistant staff’s business ability, he mistakenly thought that the accounting statement data provided by the other party should be issued for audit. Just report.
The club was fined 150000 yuan
In addition to issuing false audit reports for enterprises, the reporter also noted that the two certified public accountants signed in the three annual audit reports of Changbo logistics from 2012 to 2014 did not actually participate in the process of making and issuing audit reports.
When an accounting firm issues an audit report, it is necessary to attach a copy of the certified public accountant’s qualification certificate to it. However, the person actually attached may not be the person actually involved in making the audit report, which is actually decided by Liu Mou.
Liu confessed that the two certified public accountants signed at that time were registered in Shenming office and did not participate in the audit work. They issued a report in the name of the two certified public accountants after their audit.
What’s more bizarre is that these two certified public accountants, one of whom said that although he had the certificate of certified public accountant, he didn’t understand the accounting and auditing matters at all, while the other was “a little bit stimulated by his head, not the same as the normal people, and had been unemployed at home for nearly 20 years”.
Liu repeatedly argued that “the discrepancy between the financial statements and the company’s accounts is due to the auditor’s irresponsibility and negligence in his work”, while the failure to audit the company’s accounts in the other three years is due to “over belief”.
But in the first trial, the people’s Court of Zhuanghe City, Liaoning province did not use his defense opinion. The court held that Dalian Shenming certified public accountants Co., Ltd. deliberately provided false audit reports with untrue contents for many times in the process of accepting audit business. Under the condition that the actual main business income of the enterprise is only more than 500 million yuan, the amount of false reports amounted to more than 6.5 billion yuan, an increase of more than 6 billion yuan. However, the total profit of the enterprise is more than – 290 million yuan in total, but it is increased by 1.4 billion yuan falsely, which is serious, and its behavior constitutes the crime of providing false documents.
Liu Mou, the head of Shenming firm, as a certified public accountant with professional qualification, should audit in accordance with the auditing standards for Chinese certified public accountants when issuing the audit report for the entrusting unit, but he violated the relevant regulations, did not carry out the inquiry, correspondence, and did not review the accounts on the spot, and only issued the audit report for the entrusting unit based on its financial statements for many times, There is no audit draft, and the signed auditor has not actually participated in the audit, which is inconsistent with the accounts of the enterprise.
The people’s Court of Zhuanghe City, Liaoning Province, imposed a fine of 150000 yuan for the crime of providing false documents by Dalian Shenming certified public accountants, while Liu was sentenced to two years’ imprisonment and two years’ probation for the crime of providing false documents