What Is Wirecard Scandal?
The Wirecard Scandal Is a Series of Accounting Scandals That Resulted in the Insolvency of Wirecard, a German Payment Processor and Financial Services Provider...
The Wirecard scandal is a series of accounting scandals that resulted in the insolvency of Wirecard, a German payment processor and financial services provider that was part of the DAX index. Wirecard AG is a payment processor headquartered in Munich, Germany.
What is the problem with Wirecard?
Wirecard filed for insolvency on June 25th 2020. The act is the culmination of a long fraud and a failure of regulatory mechanisms to uphold financial ethics. The fraud came to light when Wirecard was unable to justify €1.9 billion in its accounts.
What caused Wirecard scandal?
Accounting irregularities
Wirecard's combined banking (through its subsidiary Wirecard Bank) and non-banking operations (mainly payment processing) makes its financial results harder to compare with peers, so the investors had to rely on adjusted version of the financial statements of the company.
Elena Rostova holds a Master's degree in Public Health Journalism. She covers groundbreaking medical research, holistic wellness trends, mental health awareness, and nutritional science.
