The Strategist

SEC shuts down Trump Media auditor for 'massive fraud'

05/06/2024 - 11:10

The US Securities and Exchange Commission (SEC) closed the auditing firm BF Borgers due to allegations of widespread fraud.

The agency claims that Ben Borgers, the company's founder, faked paperwork and mislead customers into believing that BF Borgers conforms to US regulations.

According to the SEC, the commission discovered infractions in at least 75% of Borgers' audits.

Gurbir Grewal, director of the SEC's Division of Enforcement, stated, "The accountants and accounting firms that audit them play a critical role in our financial markets because investors rely on the audited financial statements of public companies to make investment decisions. Although Borgers and his company have entirely renounced their role, the SEC staff's actions have made Borgers and his bogus audit pipeline irreversibly terminated".

Borgers consented to pay a $12 million fine and an additional $2 million without acknowledging or disputing the SEC's conclusions. Ideagen Audit Analytics states that he hand-signed over 140 audit reports last year, easily placing him first in the United States.

Hundreds of tiny and microcapitalization businesses, including Trump Media & Technology Group, the parent company of Donald Trump's social network Truth Social, have benefited from the audit services his firm has rendered.