Case $1$

This case study has four stages, so that the relevant information builds to form a complete picture. Read each stage and consider your reactions to it$.$ Is there anything unusual, unexplained or which goes against what you might expect to see in an account of that nature? Does the information make you suspicious? Write your reaction for each stage in the space provided.

Feron & Company first opened an account with your bank when it was incorporated as a company five years ago. The company provides business administration and accounting services and consultancy. It currently employs $20$ people, and has a client base of approximately $50$ companies, most of which are small, privately owned businesses.

Stage $1$

About six months ago, Feron Resources underwent a change of ownership. The previous owners were well$-$known to your bank. The new owner is a corporation called Commercial Enterprises. The owner of this corporation is given as a consortium of wealthy entrepreneurs, all well$-$known public figures but with no previous history or relationship with your bank.