An accountant in Utah was recently sentenced after fraudulently obtaining more than $221,000 in Paycheck Protection Program funds. Let that sink in.
Over two hundred thousand dollars.
This was not a clerical mistake. This was not “rounding up.” This was intentional fraud tied to government relief funds that were meant to help businesses survive.
Here is the uncomfortable truth: fraud like this does not just damage the accountant. It damages every client connected to the filings. It puts business owners at risk of audits, penalties, clawbacks, and in extreme cases, criminal exposure.
And most of the time, the owner says the same thing:
“I didn’t know what was being submitted.”
That is not a defense.
Your Name Is on the Line
When someone submits documents on your behalf, you are still responsible. It does not matter if it was your accountant, your bookkeeper, or your cousin who “knows QuickBooks.”
If the numbers are inflated, falsified, or unsupported, the government will come to you first.
So let me ask you something.
Do you know exactly what your accountant is submitting under your business name?
If you do not, today is the day to fix that.
If You Don’t Understand It, Make Them Show You
You do not need an accounting degree to protect yourself.
But you do need clarity.
If your accountant submits a loan application, tax filing, or financial report, ask them to walk you through it. Line by line if necessary.
Here is what that conversation should sound like:
• Show me how these payroll numbers tie to our payroll reports.
• Show me how this matches QuickBooks.
• Show me how this matches our bank statements.
• Show me where these totals came from.
If they cannot clearly explain how the numbers connect, that is a red flag.
Good accountants love transparency. They should be able to reconcile every figure back to a source document. Payroll reports. Bank statements. Accounting software. Tax forms.
No mystery math. No “trust me.” No brushing you off because you are “too busy.”
Busy is not an excuse. Blind trust is not a strategy.
Fraud Often Hides Behind Complexity
Here is how this usually happens.
The business owner is overwhelmed. They are running operations, managing staff, handling customers. The financial side feels technical and confusing. So they hand it off completely.
And that is when problems start.
Fraud thrives in complexity and silence.
If something feels too complicated to understand, slow it down. Make them simplify it. If they cannot explain it in plain English, something is wrong.
You do not need to know debits and credits. You do need to know:
• How much payroll you actually ran
• How much cash actually hit your bank
• Whether your reports match reality
That is it.
Control Is Not Micromanagement
Some owners hesitate to question their accountant because they do not want to seem distrustful.
Let’s reframe that.
Oversight is leadership.
Verification is protection.
You are not accusing anyone. You are protecting your business, your employees, and your own reputation.
If someone gets defensive when you ask for documentation or reconciliation, that tells you more than any spreadsheet ever could.
Simple Safeguards You Can Put in Place Today
You do not have to overhaul your entire financial system to reduce risk. Start with these basics:
- Review every major submission before it goes out. Loans. Tax filings. Government forms.
- Require supporting reports. Payroll summaries. Bank reconciliations. QuickBooks reports.
- Log into your accounting software and bank accounts yourself at least monthly.
- Separate duties when possible. The person preparing reports should not be the only one reviewing them.
- Ask questions until the numbers make sense to you.
If you are too busy to do this yourself, bring in a second set of eyes. A fractional CFO. A forensic accountant. A trusted advisor.
Silence is expensive. Oversight is cheap.
Final Thought
Most business owners are honest. Most accountants are honest.
But all it takes is one bad actor, one inflated report, one fraudulent submission tied to your business name.
So here is your next step.
Open your most recent financial report or filing. Pick one number. Ask yourself: Do I know exactly where this came from?
If the answer is no, schedule a meeting this week and make them show you.
Clarity is not optional.
It is protection.
