codeworx7

This question is for someone who already experienced purchased a private placement with a company. What procedure did you do with the company before you purchase their private placement? Do they give you a form or certification of investment purchase? Did the company ask you for your personal information such as address for future communication?

1) If the C.E.O. is secretly stealing the company or investor's funds into his/her personal accounts. Will the internal auditor find out and how they will report this activities? The C.E.O. can either threating to fire or bribe the soon to be whistle blower.

2) If the company is selling private placement stock as fund raising, how to prevent fraud committed by broker or saleman working for the company?

I am doing a research paper for my forensic account class on fraud and internal control. I need to write a suggestion on how to establish an internal control to prevent CEO from scamming people and prevent investment advisor from scamming people. This is based on true story. Here is the link to review http://www.tucsoncitizen.com/print/local...

What way can the company prevent it from happen? what can internal control auditor do? What can accountant do? What can the board of trustee can do with CEO who is scamming investors?

What way can the investor do to protect himself? How can they investingate the company to make sure it legitmate company?

Thank you for your help.