great salad Oil swindle, the
The popular name of a landmark 1963 U.S. court case that featured the Allied Crude Vegetable Oil Refining Corporation. The corporation’s sales were over $100 million annually, an enormous sum for the time, and the founder of the corporation was indicted (along with other individuals) on criminal charges of *fraud and deception. The indictment arose from the discovery that the corporation regularly inflated its inventory records of vegetable oil. To deceive a representative from a bank, who visited the corporation weekly to perform inventory checks, Allied Crude undertook a series of tragicomic irregularities. For example, it pumped oil from one oil tank to another as the visitor walked from tank to tank to undertake measurement tests, and in some cases it simply filled oil tanks with sea water. The case had indirect repercussions for external auditors: The swindle prompted external auditors to enhance their inventory verification tests, including the use of independent technical experts where appropriate. Further reading: Miller (1965)

Auditor's dictionary. 2014.

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  • Great Salad Oil Swindle — The Great Salad Oil Swindle (Baltimore, MD: Penguin Books, 1965) is a book by Wall Street Journal reporter Norman C. Miller about Tino De Angelis, a New York based commodities trader who bought and sold vegetable oil futures contracts around the… …   Wikipedia

  • Salad oil scandal — The Salad Oil Scandal, also referred to as the Soybean Scandal, was a major corporate scandal in 1963 that ultimately caused over $150 million in losses to corporations including American Express, Bank of America and Bank Leumi, as well as many… …   Wikipedia

  • Allied Crude Vegetable Oil Refining Corporation — See the *great salad oil swindle …   Auditor's dictionary

  • Tino De Angelis — Anthony Tino De Angelis (born in 1915) was a Bayonne, NJ based commodities trader who bought and sold vegetable oil futures around the world. In 1962 he started a huge scam, attempting to corner the market for soybean oil, used in salad dressing …   Wikipedia

  • Norman C. Miller — Norman Charles Miller (born 1934) was an American journalist who worked for the Wall Street Journal.Miller was born in Pittsburgh and attended Pennsylvania State University, where he earned his Bachelor of Arts in 1956. Miller won a Pulitzer… …   Wikipedia

  • Norman Charles Miller — (born 1934) was an American journalist who worked for the Wall Street Journal. Biography Miller was born in Pittsburgh and attended Pennsylvania State University, where he earned his Bachelor of Arts in 1956. Miller won a Pulitzer Prize for… …   Wikipedia

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  • do — do1 /dooh/; unstressed /doo, deuh/, v. and auxiliary v., pres. sing. 1st pers. do, 2nd do or (Archaic) doest or dost, 3rd does or (Archaic) doeth or doth …   Universalium

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