Blog Article

Weekly Catch-Up 26th September

Tuesday 1 October 2019

Accounting Error at M&C Saatchi to cause potential profit loss

An accounting Error at M&C Saatchi has forced the company to downgrade its profit forecast in their half year report. The agency announced a charge of £6.4m to the group’s annual results back in August after an internal review exposed mistakes within their accounting. With the full review due in November, the operating profit and profit before tax is now forecast to be 5-10% down.

Read more

Korea: Crypto is intangible asset according to global accounting standards body

In a report by the Korea Times on Monday it was stated that according to the Korea Accounting Institute, the International Financial Reporting Interpretations Committee (IFRIC) confirmed that Cryptocurrency was neither cash nor financial asset but met the definition of an intangible asset, at a meeting in London in June.

London based IFRIC, who set the International Financial Reporting Standards, concluded in a document dated June 21st that Cryptocurrency did meet the definition of an intangible asset on the grounds that  “(a) it is capable of being separated from the holder and sold or transferred individually; and (b) it does not give the holder a right to receive a fixed or determinable number of units of currency.”

Read more

USA: Accounting Fraud at Comscore leads to $5million settlement

The media measurement firm Comscore and its CEO Serge Matta, have been charged with engaging in a fraudulent scheme that resulted in a $50 million overstatement of revenue, the Securities and Exchange Commission announced today. Within the charges are allegations that Comscore made “false and misleading statements about key performance metrics,”

As a result, Comscore have agreed in a settlement to pay $5 million in penalties with Matta having to pay $700,000 plus a further reimbursement of $1.2 million to Comscore as well as being barred from serving as an officer or director of a company for 10 years.

Read more

South Africa: Pick and Pay record R17bn debt as a result of accounting changes

South African retailer Pick and Pay have reported an increase in their debt from R1.6bn to R17bn for the 53 weeks ending March 3rd as a result of the implementation of IFRS 16. One of the changes needed to be made as a result of the new standards is that companies must bring all their leases on to their balance sheets.

CFO Lerena Olivier claimed that the group had a stable lease portfolio and that the changes would have no effect on the groups net asset value. “IFRS has not changed the fundamental value of our business, or our value creation,” she said.

Read more

About the Author

Related Articles

Weekly Catch-Up 11th October

The Financial Reporting Council’s new Chairman has accelerated plans to create a new regulator in o...

Read More >

Weekly Catch-Up 3rd October

In response to amendments made to the IFRS 17 standard by the International Accounting Standards Boa...

Read More >

Weekly Catch-Up 17th September

So far a handful of fashion retailers have detailed their costs to date with regards IFRS 16. The im...

Read More >

Weekly Catch-Up 10th September

There are still some uncertainties around the amendments and stakeholders have until 25 September to...

Read More >

Weekly Catch-Up 29th August

The Financial Accounting Standards Board has issued a proposal which offers insurers an extra year t...

Read More >

Weekly Catch-Up 10th May

Andrew Munday, the former accountant of singer Rita Ora and rugby international Matt Dawson, has bee...

Read More >

Stay Updated with IASeminars

Join 20,000+ other professionals on our global mailing list.