Harris Scarfe's CFO fed false information to the ASX and was jailed for six years
Harris Scarfe · Department stores (listed)
The case in brief
Visible before detection
Checks that could have surfaced it, on hindsight
Books edit log
Would have shown manual journal entries inflating results.
Can mislead when: Logs can be disabled at database level (auditors qualified this in year one) or tampered with on export. Kubr needs the company to cooperate.
Bank credits vs books
Would have compared bank credits with reported sales.
Can mislead when: AA only sees the accounts the company links, so an undisclosed account stays invisible. Cash-heavy businesses and timing differences create false flags.
Governance signals
Would have looked at finance oversight.
Can mislead when: Private companies file late, so these signals are lagging. Kubr uses them to support other flags, not to prove anything alone.
Where Kubr services would have helped
Valuation context
Offered in India- C11 Would have looked at finance oversight.
Financial diligence
Offered in India- C1 Would have compared bank credits with reported sales.
- C12 Would have shown manual journal entries inflating results.
Portfolio monitor
Offered in India- C1 Would have compared bank credits with reported sales.
- C11 Would have looked at finance oversight.
Borrower monitor
Offered in India- C1 Would have compared bank credits with reported sales.
- C11 Would have looked at finance oversight.
Mapped from the checks each service runs. A hindsight reading of public records, not a promise that the failure would have been found.
Same pattern
A summary of public documents. It reports what the sources say. It is not Kubr's finding and not a statement of guilt.