It’s been a hot few years of corporate fraud. A plea deal earlier this week for Binance founder Changpeng Zhao on charges of money laundering comes on the heels earlier this month of FTX founder Sam Bankman-Fried’s conviction for what prosecutors called “one of the biggest financial frauds in American history.” And earlier this year, former Theranos executives Elizabeth Holmes and Sunny Balwani began serving multiyear sentences after juries determined that their aggressive overselling of an unproven blood-testing technology had amounted to fraud.
But what if there is so much more fraud that we just don’t know about? That’s what a recent paper by three finance professors tried to pin down—and their findings indicate SBF, Holmes, et al. are just the tip of the proverbial, well, you know.
