runandadd:
"nearly 100% of the invoices were fake"- so some were real? They DID have some income?
Do subsidiaries send their actual bank statements to their parent or just a summary? What I mean is, does the parent get to see any actual deposits of receivables or just a summary thereof.
If my subsidiary reported $120M of invoices, how do I know the money ever got to the bank without seeing the actual bank statements? Do I have to take the word of the subsidiary as fact?
If there are no bank statements involved, it would be easy for my sub to fake the summaries, too, and I would think he was rolling in cash!
One WOULD think the auditors would get access to all the paper, though... Do they?
IMO
hog5
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