{"id":5120,"date":"2019-08-29T16:44:01","slug":"walt-disney-co-is-alleged-of-inflating-financial-statements","title":{"rendered":"Walt Disney Co. is alleged of inflating financial statements"},"content":{"rendered":"<p><img loading=\"lazy\" decoding=\"async\" class=\"size-medium wp-image-10126 alignleft\" src=\"https:\/\/cms-corporate.integrity-asia.com\/id\/wp-content\/uploads\/sites\/3\/2022\/12\/wdco-2-300x200.jpg\" alt=\"\" width=\"300\" height=\"200\" srcset=\"https:\/\/cms-corporate.integrity-asia.com\/id\/wp-content\/uploads\/sites\/3\/2022\/12\/wdco-2-300x200.jpg 300w, https:\/\/cms-corporate.integrity-asia.com\/id\/wp-content\/uploads\/sites\/3\/2022\/12\/wdco-2-1024x683.jpg 1024w, https:\/\/cms-corporate.integrity-asia.com\/id\/wp-content\/uploads\/sites\/3\/2022\/12\/wdco-2-150x100.jpg 150w, https:\/\/cms-corporate.integrity-asia.com\/id\/wp-content\/uploads\/sites\/3\/2022\/12\/wdco-2-768x512.jpg 768w, https:\/\/cms-corporate.integrity-asia.com\/id\/wp-content\/uploads\/sites\/3\/2022\/12\/wdco-2-1536x1024.jpg 1536w, https:\/\/cms-corporate.integrity-asia.com\/id\/wp-content\/uploads\/sites\/3\/2022\/12\/wdco-2-2048x1365.jpg 2048w, https:\/\/cms-corporate.integrity-asia.com\/id\/wp-content\/uploads\/sites\/3\/2022\/12\/wdco-2-640x427.jpg 640w, https:\/\/cms-corporate.integrity-asia.com\/id\/wp-content\/uploads\/sites\/3\/2022\/12\/wdco-2-400x267.jpg 400w, https:\/\/cms-corporate.integrity-asia.com\/id\/wp-content\/uploads\/sites\/3\/2022\/12\/wdco-2-367x245.jpg 367w\" sizes=\"auto, (max-width: 300px) 100vw, 300px\" \/>After a shocking headline of GE&#8217;s alleged financial fraud revealed by Harry Markopolo,\u00a0now public and investors have to face another shocking report on entertainment and media tycoon, Walt Disney Co. Sandra Kuba, a former senior financial analyst of Walt Disney, has told US Securities and Exchange Commission (SEC)\u00a0that Walt Disney Co. has been inflating its financial reports.<\/p>\n<p><strong>Read More: <a href=\"https:\/\/cms-corporate.integrity-asia.com\/id\/blog\/2019\/08\/29\/ges-alleged-fraud-scandal-more-serious-than-enrons\/\">GE\u2019s Alleged Fraud Scandal: More Serious than Enron\u2019s<\/a><\/strong><\/p>\n<p>As quoted from <em>NYpost<\/em>, Kuba said that employees systematically overstated\u00a0the company&#8217;s financial statement\u00a0up to billions of US dollars, especially for the park and resort divisions. Kuba alleged that employees recorded\u00a0income from gift cards twice, particularly when guests buy gift cards that are used at the resorts. Sometimes, they record income even though gift cards are free for guests. According to Kuba, Disney&#8217;s annual revenue could have been overstated by as much as 6 billion USD in just one financial year, 2008-2009.<\/p>\n<p>Kuba, who had been employed in Walt Disney for 18 years, reported the irregularities to management in 2013, but no one responded. In 2016, she then escalated the issue by reporting to senior executive and received no follow-up. Finally, in 2017 she went directly to SEC to file the report. Similar to what occurs to other whistleblowers whose identities are revealed, Kuba received retaliation from the company as she was fired in the following month.<\/p>\n<p><strong>Read More:<\/strong> <strong><a href=\"https:\/\/cms-corporate.integrity-asia.com\/id\/blog\/2019\/03\/01\/whistleblowing-why-the-security-and-anonymity-of-the-whistleblowers-do-matter\/\">Whistleblowing: Why the safety And Anonymity Of The Whistleblower Do Matter<\/a><\/strong><\/p>\n<p>A Walt Disney spokesperson\u00a0in an interview with <em>MarketWatch<\/em> said the allegations posted by its\u00a0former employees had been reviewed in depth by the company and were\u00a0found\u00a0baseless.<\/p>\n<p>After Kuba&#8217;s report is made to the public, SEC has not yet formally\u00a0made an official statement. SEC annually receives 25 thousand reports\u00a0on average. With limited resources, of course, SEC will take some time to review the reports and will only follow up qualified ones. If it is true that Walt Disney has inflated financial statements since 2008, there will be multiple\u00a0revisions to the statements, and of course, there is a high probability that stock price will plummet.<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>After a shocking headline of GE&#8217;s alleged financial fraud revealed by Harry Markopolo,\u00a0now public and investors have to face another shocking report on entertainment and media tycoon, Walt Disney Co. Sandra Kuba, a former senior financial analyst of Walt Disney, has told US Securities and Exchange Commission (SEC)\u00a0that Walt Disney Co. has been inflating its [&hellip;]<\/p>\n","protected":false},"acf":[],"featured_image_url":"https:\/\/cms-corporate.integrity-asia.com\/id\/wp-content\/uploads\/sites\/3\/2019\/08\/wdco-1.jpg","_links":{"self":[{"href":"https:\/\/cms-corporate.integrity-asia.com\/id\/wp-json\/wp\/v2\/posts\/5120","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/cms-corporate.integrity-asia.com\/id\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/cms-corporate.integrity-asia.com\/id\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/cms-corporate.integrity-asia.com\/id\/wp-json\/wp\/v2\/users\/5"}],"replies":[{"embeddable":true,"href":"https:\/\/cms-corporate.integrity-asia.com\/id\/wp-json\/wp\/v2\/comments?post=5120"}],"version-history":[{"count":0,"href":"https:\/\/cms-corporate.integrity-asia.com\/id\/wp-json\/wp\/v2\/posts\/5120\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/cms-corporate.integrity-asia.com\/id\/wp-json\/wp\/v2\/media\/5133"}],"wp:attachment":[{"href":"https:\/\/cms-corporate.integrity-asia.com\/id\/wp-json\/wp\/v2\/media?parent=5120"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/cms-corporate.integrity-asia.com\/id\/wp-json\/wp\/v2\/categories?post=5120"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/cms-corporate.integrity-asia.com\/id\/wp-json\/wp\/v2\/tags?post=5120"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}