If I were Howard I would GTFO of the USA asap. Apparently hes still living in Vegas?

the balance sheet shows $0 in the bank BUT also shows that the owners now OWE the company to balance the books!

Wow, thats great! OK owners, pay up!

No chance of anything happening on sunday? I quess we have to wait then until

Anything's possible.

OK. See below.

Now I challenge you to cite a single source that refutes the notion that improper distributions should not be acounted for as if they were dividends.

I think we all agree that proper dividends don't create a loss.

Where they show up depends on which country's accounting rules you follow. For instance, in Ireland, dividends show up as an item in the statement of the Profit and Loss Account, as cited in an earlier post. They do not show up as an item on the balance sheet, although of course they affect the amount of equity shown on the balance sheet. They do have to show up as an item in the statements somewhere though.

The question of how to account for an improper distribution remains. I expect that this (quite rare) transaction gets different treatment in different locales. I am suggesting the accounting principle to apply is you cannot account for a disbursement as a dividend if it is not a proper dividend. So what can you treat it as? In my limited knowledge, there is nothing you can treat it as except as an extraordinary, non-operating item. If you can cite an authority that contradicts this, please do. The only text I have at hand doesn't address the specific issue.

The notes for the PEOI Accounting II course have this to say about extraordinary items: You should be sorry. I am not talking about dividends. I am talking about distributions that were not dividends.

We aren't talking about the $1500 profit. We are talking about the $2000 you took out. Since you didn't have $2000 in retained earnings, it cannot have been a dividend. You cannot just ignore that the company saw a reduction of cash in the amount of $2000. Any adjustment in cash has to be fully accounted for. How do you account for the $2000? It wasn't a dividend.

I think the 'mods' should change the title of this thread to Re: FTP Discussion Thread--BOOKKEEPING

If anyone from Pokerstars, the DOJ, or FTP is reading this, pleaaaaaaaseeee make an announcement soon so that this debate between DTM and Wizzard can stop.

I think we've all suffered enough already.

The balance sheet is not allowed to show a receivable from the owner if the company has no proof of indebtedness. In the above case I suppose that wizzard98 could agree to sign a promissiory note in favour of the company in which case the company would have assets of a $7 dollar receivable to offset its $6 debt, for retained earnings of $1.

This cannot apply in the FTP case, because the evidence seems to show that owners received the payments in good faith as distributions, not as loans. You cannot impose an obligation on those owners to pay the distributions back if you cannot prove they knew at time of receipt that the distributions were improper. Without such an obligation you cannot book it as a receiveable. You still have to book the payment, and you cannot book it as a dividend. Under usual accounting practice this makes it an extraordinary expense, and that affects profitability, though not operating profit.

fosho!

ok---he's to thick to get it!!!

And in lighter news

Ray is making progress in B block.
Thrush poker has exploded on to the scene as expected.

Ring games are popular with the rapists. Murderers are triple barrelling loose aggressives.

The daily double 100 cigarette guarantee is the best value tourney this week.

Stud games are proving also popular. Limit Holdem is the game of choice for kidnappers.

Ray's taking some nice juice from these games.

Iron man status can be achieved by spending 30 days in solitary confinement.

An Inmate award points scheme will start next week. Points can be redeemed for prison apparrel and useless gifts. Rumour has it that hoodies will be able to be redeemed from the laundry gang and the machine shop prisoners are going to make keychains!

What a great week for Ray. He has adjusted to prison life so quickly. Crims gonna crim

Sorry, but until you can prove in a court of law that FTP's owners knew that the distributions were improper, they don't legally owe anything. FTP's books cannot show the owners generally as owing the missing amount. It might be interesting to see what they could reasonably account for the directors owing, as under California law (Tiltware is a California LLC, isn't it?) directors are liable for improper distributions. They cerainly could not account for more than they can reasonably expect the directors to pay. Given the outstanding forfeiture allegations against them, the directors might not anything left to pay back the improper distributions, so the proper accounting would be a goose egg.

Hilarious
seriously ****ing funny

...in lighter news... Perfect

I have heard he has been sucking out because he is hitting a lot of backdoors.

What an interresting discussion, bring back Hdemet while you're at it.

He also has been complaining about a rigged deck. Too many aids and queens.

Poor Ray. Some guy was chasing and hit his bottom end.

looooooooooool

FYP.

just bumping some of the first epic posts on this mess. This one was from 8/26, 2011

August 30th 2011.

Also August 2011

They gave him a black card - it does nothing

that one is good

Jajaja. At the time that was our only hope so if that meant greater than the 2% equity or whatever we might have received years down the road without a savior I still stand by what I said. Turns out the deal would have sucked and I obviously had no way of knowing that at the time. Live and learn. Let's hope Stars can pull this off and do it right.