To read the full version of this content please select one of the options below:

Winstar Communications: corporate fraud and auditing procedures

Alexander W. Ng (Metro Metro & Associates, Olney, Maryland, USA)
Lasse Mertins (Johns Hopkins Carey Business School, Baltimore, Maryland, USA)
Charles L. Martin (Towson University, Townson, Maryland, USA)

Publication date: 2 April 2015



Winstar Communications was a successful and fast growing telecommunication company in the 1990s and early 2000s. However, in the early 2000s, the company started to struggle financially. In 2000, Grant Thornton audited Winstar, issuing an unqualified opinion. After Winstar went into bankruptcy in 2002, investors started to question the quality of the audit. This teaching case is based on the Gould v. Grant Thornton case that was tried in the United States Court of Appeals in 2011/2012. It provides accounting students with an opportunity to learn about auditing procedures and the consequences when auditing procedures are not correctly followed.

Research methodology

Teaching case study.

Relevant courses and levels

This case study is suitable for introductory undergraduate auditing, advanced undergraduate auditing and master level auditing courses.



Ng, A.W., Mertins, L. and Martin, C.L. (2015), "Winstar Communications: corporate fraud and auditing procedures", , Vol. 11 No. 2, pp. 147-153.



Emerald Group Publishing Limited

Copyright © 2015, Emerald Group Publishing Limited

Related articles