Auditing Firm is Accused of Negligence Following Health Insurance Company Bankruptcy

ByJoseph O'Neill

Updated on

Auditing Firm is Accused of Negligence Following Health Insurance Company Bankruptcy

Case Overview

This is a professional negligence case against a large auditing firm. The defendant firm was performing the audits for a regional medical insurance firm in southern Texas. According to the relevant laws, insurance companies are required to maintain a certain amount of liquidity. It was alleged that the auditing firm was approving transactions off of the balance sheet that made non-cash assets look like cash. As a result of this, an eventual investigation into the insurance company’s financials led the firm, which had 50,000+ members, to fold within a month.

About the author

Joseph O'Neill

Joseph O'Neill

Joe has extensive experience in online journalism and technical writing across a range of legal topics, including personal injury, meidcal malpractice, mass torts, consumer litigation, commercial litigation, and more. Joe spent close to six years working at Expert Institute, finishing up his role here as Director of Marketing. He has considerable knowledge across an array of legal topics pertaining to expert witnesses. Currently, Joe servces as Owner and Demand Generation Consultant at LightSail Consulting.

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