Sam Bankman-Fried was just the start — the Great Fraud Reckoning is upon us.
Get ready for what will feel like an inescapable wave of corporate fraud, Insider’s Linette Lopez warns.
Financial conditions are tightening after years of an intensely hot stock market. But now the economy is slowing. The stock market is sliding. And cash is getting harder to come by. This is putting pressure on corporate balance sheets — tempting executives to cheat to meet Wall Street’s expectations. And if history is any guide, the biggest scams are yet to come.
The risk of running into companies that have moved from funk to fraud gets higher the longer financial conditions remain tight, according to a former SEC accountant (who’s now a partner at a firm that works with clients facing allegations of fraud).
“I think we’re going to be very busy this year,” he said. |