I have been criminally charged with accounting fraud. Accountant attorney, please respond.

Accounting fraud is a concept that encompasses both window dressing and audit failure, and refers to a company creating false financial statements in violation of corporate accounting standards.

In this process, book manipulation inevitably occurs.

Window dressing lowers the corporate trust of external investors and can cause damage to companies related to the company by falsely making the company's management status look good.

The Financial Supervisory Service conducts annual supervisory investigations of companies, and if accounting fraud is detected, those who created fictitious sales that do not exist and committed accounting fraud may be subject to heavy punishment under the Capital Markets Act, the External Audit Act, and the Criminal Act.

Under the Act on External Audits of Stock Companies (External Audit Act), if an auditor or affiliated certified public accountant prepares a false audit report, they are subject to imprisonment for up to 10 years or a fine of 2 to 5 times the profit obtained or loss avoided through the violation (improper gains).

For clients facing police investigation on accounting fraud charges, accountant attorneys and certified public accountants of our firm collaborate to form a case-dedicated team to review actual materials, establish defense strategies, and provide legal advice.

Recently, the Financial Supervisory Service has been continuously strengthening surveillance regarding accounting fraud cases.

If you are investigated on accounting fraud charges, you may be subject to administrative dispositions or criminal punishment against the company, so before the case is filed, please establish a strategy advantageous to yourself in advance through legal advice from accountant attorneys and certified public accountants regarding the accounting fraud charge.