Rutgers University Newark Forensic Accounting Discussion Questions
On August 5, 2022, President Biden signed two bills into law that extend to ten years the statute of limitations for civil and criminal enforcement actions for fraud on the Paycheck Protection Program (“PPP”) and Economic Injury Disaster Loans (“EIDL”). These two bills—the PPP and Bank Fraud Enforcement Harmonization Act of 2022 and the COVID-19 EIDL Fraud Statute of Limitations Act of 2022—were both passed by Congress with bipartisan support.
On March 29, 2022, New York Attorney General Letitia James
sent letters to the largest credit card companies and major debt collectors operating in New York, warning them of new state regulations that prevent them from suing consumers for old debts
. The Consumer Credit Fairness Act of 2021 — which was signed into law last November — will go into effect next month and reduces the statute of limitations for consumer debt collection from six years to three years.
Please research these two regulations and answer these questions:
1. As a forensic accountant what can you do to assist the government or counsel in the investigation of fraudulent convenances?
2. Is it equitable for the federal government to extend statutes of limitations while the State of New York reduced the ability to file civil actions to collect consumer debt?