Do audits actually matter?

Dr. Bob@lemmy.ca to News@lemmy.world – 36 points –

The US 2nd circuit has ruled that auditors opinions aren't relevant in cases of investor fraud because the statements are too vague for people to rely on. Whut?

Wall Street Journal article here for those who have access.

Here is a professor's blog entry for a barrier free commentary on the importance of the case.

1

Huh. Two trump appointed judges, right when Trump is in court trying to make the case that no one should rely on his financial statements because he's known to lie in them, come out with a novel ruling that financial statements aren't really all that important to investors. hrmmmmm