Fraud Day 2020

April 24, 2020
Downes Club, University of Notre Dame


Speakers present lessons to be learned from corporate fraud cases
 

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Fraud Day is free and open to the public. Guests planning to attend lunch must register by April 15 at: https://docs.google.com/forms/d/e/1FAIpQLSdqxd7tmmSDKv15G-cu_VStttP9GaHvJ-PhakPouJLDlWM-cA/viewform?usp=sf_link

 

 

Experts in corporate fraud will share their unique perspectives and experience as part of “Fraud Day” at the University of Notre Dame’s Mendoza College of Business. The 2020 event will take place April 24 in Downes Club. 

Since 2013, CARE has hosted former HealthSouth CFO turned whistleblower, and convicted fraudster Weston Smith. Smith, who alerted federal investigators in 2003 to the massive accounting fraud perpetrated at health-care giant HealthSouth, is a frequent speaker on ethics and integrity in business. Smith describes the culture of the company that supported the fraud, the mechanics of how the unethical accounting was put into place, and how detection was avoided. While his talk focuses on the accountancy aspect of the scandal, Smith also has a message for broader audiences “to simply do the right thing” – a challenge to live and work responsibly. Smith was eventually sentenced to 27 months in prison for his role – one of the longest sentences ordered for any of the HealthSouth defendants.

In 2015, litigation expert Andrew Richmond, vice president of Cornerstone Research in Chicago, joined the presentations. Richmond has led independent forensic accounting investigations for boards, special committees and management and was directly involved in the HealthSouth case. Andy presents a provocative discussion on the role of forensic accountants in investigations, how fraudsters cook the books, and discusses several fraud case studies. Richmond has investigated high-profile fraud schemes including Bernie Madoff and Stanford Financial as well as HealthSouth.  

In 2016, we added global interrogation expert Christopher Norris to Fraud Day. A director at global interrogation training company Wicklander-Zulawski & Associates, Norris is experienced in loss prevention and investigation, and has conducted numerous investigations for both private companies and public agencies, and has questioned offenders worldwide. Chris presents an overview of the WZ Non-Confrontational Method of interview.  The method is designed to provide the fraud investigator a strategy to address integrity issues and those involved in fraud.  It reduces resistance from the suspect, encourages honesty without confrontation or presentation of any evidence developed through the investigation.  

CARE sponsors talks by practitioners as part of its effort to make connections between the teaching of Financial Statement Analysis and Valuation, ethics, and practice, which is one of the clearly stated goals established by the CARE advisory committee. In 2019, approximately 320 student, alumni and outside guests attended. Students from multiple classes offered at Mendoza attend Fraud Day because material covered is integral to their course. The speakers see this opportunity for more intimate conversation as a major enticement for coming to Notre Dame. The feedback from the students (as well as instructors from other classes) is extremely positive.   

2020 finds us rounding out the experience with an FBI agent, Securities and Exchange Commission representatives Matt Jacques and Tim Tatum, and United States Department of Justice Attorney, Sean Berry, to offer a full understanding of the progression from the inception of the fraud, through incarceration, and beyond.

Matt Jacques currently serves as Chief Accountant of the SEC’s Division of Enforcement. He has over two decades of experience as a public accountant, regulator, expert witness and forensic accountant. Mr. Jacques has led teams conducting complex forensic investigations in high-profile accounting, securities, anti-corruption and other financial matters. Prior to his time at the SEC, he worked as managing director at an international advisory firm and a forensic accountant at a Big Four accounting firm, where he was engaged by counsel to provide technical accounting expertise in investigations and litigation. Mr. Jacques is a certified public accountant and certified fraud examiner.

Tim Tatman is a senior accountant with the Division of Enforcement at the SEC’s Chicago Regional Office. Mr. Tatman collaborates with Enforcement counsel to investigate alleged and potential violations of the federal securities laws, primarily providing subject matter experience in the areas of accounting, financial reporting, auditing, and internal controls.  In September 2013 he was appointed to be a founding member of the Enforcement Division’s Financial Reporting and Audit Task Force.  Prior to joining the SEC in 2010, Mr. Tatman was a Senior Manager with Deloitte Financial Advisory Services LLP, where he managed a broad array of forensic accounting investigations, assisted clients conducting fraud risk assessments, and worked with the firm’s National Audit and Assurance group to develop new processes, tools, and training to enhance the consideration of fraud throughout the audit process. 

Sean R. Berry serves as the First Assistant United States Attorney for the Northern District of Iowa.  He has been a federal prosecutor in Iowa since 1999, where he has also served as Criminal Chief.  Prior to 1999, Berry served for ten years as a federal prosecutor in Los Angeles, California, where he was Chief of the Major Frauds Section.  Berry has extensive experience in prosecuting complex white collar crime cases involving bank fraud, securities fraud, insider-trading, and public corruption. Berry also serves as an adjunct professor at the University of Iowa College of Law where he teaches Federal Criminal Practice and White Collar Crime.  Berry frequently serves as an instructor for the Department of Justice both in the United States and abroad.

The FBI’s Assistant Special Agent in Charge (ASAC) has responsibility for the Intelligence Program, violent and white-collar crime investigations, and crisis response. Previously the ASAC  was Chief of Operations for the National Cyber Investigative Joint Task Force (NCIJTF), with responsibility for all task force operations involving the 35 partner agencies and 170 members.

Since joining the FBI, the ASAC has investigated or supervised the investigation of white-collar crime, violent crime, terrorism, computer intrusion, and counterintelligence matters. In addition, he served as an Assistant Inspector responsible for the review of FBI field office operations, and FBI agent-involved shootings. He has served in the Washington, DC, Chicago and Houston field offices and at FBI Headquarters in the Criminal Investigative, Cyber, Counterintelligence and Inspection Divisions. He has served on several joint agency task forces to include: the Washington, DC based FBI and HUD-OIG Housing Fraud Task Force; the Enron Task Force; and the NCIJTF. Prior to joining the FBI, ASAC worked in the Chicago office of Arthur Andersen LLP in their Business Fraud Risk Services group performing fraud investigations and consulting services. ASAC Holdeman earned a Bachelor of Science degree in Accounting from Purdue University and an Executive MBA from the Naval Postgraduate School. He is a licensed CPA in the state of Illinois and holds several cyber security certifications.

Fraud Day is free and open to the public. Guests planning to attend lunch must register by April 15 at: https://docs.google.com/forms/d/e/1FAIpQLSdqxd7tmmSDKv15G-cu_VStttP9GaHvJ-PhakPouJLDlWM-cA/viewform?usp=sf_link

This event is sponsored by the Center for Accounting Research and Education (CARE) and the Mendoza College of Business. For further details and a schedule of the day’s events, visit https://care-mendoza.nd.edu/news-events/fraud-day-2020/. Please direct all questions to Lorie Marsh, Program Manager, at lmarsh1@nd.edu.

CARE sponsors talks by practitioners as part of its effort to make connections between the teaching of Financial Statement Analysis and Valuation, ethics, and practice, which is one of the clearly stated goals established by the CARE advisory committee.

 

The full day agenda follows:
 

8:15-8:50 am Breakfast, Downes Club Ballroom
8:55-9:00 am Introduction, Peter Easton, Director, Center for Accounting Research and Education
9:00-10:00 am Andy Richmond, Cornerstone Research
10:00-11:00 am Weston Smith, Whistleblower, Former HealthSouth CFO
11:00-11:15 am Break
11:15-11:55 am Matt Jacques, SEC Commissioner
11:55-12:35 pm Assistant Special Agent in Charge of White Collar Crime Investigation, Federal Bureau of Investigation
12:40-1:30 pm Lunch, Hank Family Forum, 8th Floor
1:30-2:10 pm Sean Berry, US Department of Justice
2:10-2:20 pm Break
2:30-3:30 pm Chris Norris, Wicklander-Zulawski
3:30-4:30 pm Panel Discussion, Q&A, Closing Remarks


Questions, or for more information, contact Lorie Marsh at lmarsh1@nd.edu.