United States Government and Fraud

The United States Federal Government is the control of our country’s financial health.  They are the people who print our money, and who prosecute those that commit fraud against our government.  Our government states that businesses must follow the GAAP, when doing their accounting practices.  However, with our world becoming more and more global the United States has issued, “the final rule allows foreign private issuers to file with the Commission financial statements prepared in accordance with International Financial Reporting Standards (IRFS) as issued by the International Accounting Standards Board (IASB) without reconciliation to generally accepted accounting principles (GAAP) as used in the United States” (Cramer, 2008).  This is a big step for our country to actual become more global in our accounting practices.  We are one of the very few is not the only that uses the GAAP, and not IRFS principles when keeping our books.  This one step could prove to be the beginning of a big chance for the United States, but at the same time it might not with the cost of changing these principles is very costly.


Cramer, R. J. (2008). Securities and Exchange Commission: Acceptance From Foreign Private Issuers of Financial Statements Prepared in    Accordance With International Financial Reporting Standards Without Reconciliation to U.S. GAAP. Washington DC: United Stat s Government Accountability Office.