Lernout & Hauspie booked fictitious sales in South Korea and to start-ups it funded
Lernout & Hauspie · Speech technology (listed)
The case in brief
Visible before detection
Checks that could have surfaced it, on hindsight
Counterparty existence
Would have checked whether Korean customers existed.
Can mislead when: Real companies can be used as pass-throughs. Existence does not prove a real trade, so C6 and C7 still apply.
Ownership / related-party links
Would have linked customers to the company's own funding.
Can mislead when: Nominee directors and offshore layers hide links. Name matching throws up false positives, so every flag shows its evidence path.
Bank credits vs books
Would have matched Korean revenue to cash received.
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.
Where Kubr services would have helped
Financial diligence
Offered in India- C1 Would have matched Korean revenue to cash received.
- C3 Would have linked customers to the company's own funding.
- C4 Would have checked whether Korean customers existed.
Valuation context
Offered in India- C4 Would have checked whether Korean customers existed.
Proceeds tracer
Offered in India- C1 Would have matched Korean revenue to cash received.
- C3 Would have linked customers to the company's own funding.
- C4 Would have checked whether Korean customers existed.
Verified Snapshot
Offered in India- C3 Would have linked customers to the company's own funding.
- C4 Would have checked whether Korean customers existed.
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.