Below are examples of findings taken from field exams performed by ECG:

  • Recommended $4,983M in ineligibles for a construction company including:
    • $2,946M in retainage
    • $1,214M in bonded jobs
    • $265M for partially paid invoices
  • Identified a $2,997M difference between the general ledger AR control account and the AR aging for a service company.  Recommended that financial statements be resubmitted so covenants could be recalculated.
  • Recommended a $3,189M ineligible for inventory in-transit for a distributor.  Other ineligibles totaling $537M also identified by ECG.
  • Identified in-accurate accounting practices and methodologies for a distributor of health and beauty aides.  ECG identified that past due AR reported to the lender was understated by approximately $800M.
  • Recommended $1,700M of new ineligibles for a communications company including:
    • $771M for bonded jobs
    • $338M for percentage of completion billings (billings in excess of costs)
    • $341M for cross aged AR
    • $161M for contra AR