Fraudulent Practices

Padding
Padding refers to the practice of adding unnecessary material or expenses for the purpose of increasing the size or volume, such as padding an expense account to increase the company's reimbursement.
Stock Watering
Stock watering refers to various practices in which a company inflates the value of its assets or exaggerates its profits to issue more shares than justified. Historically notable during the US railway boom of the late 19th century, this practice constitutes fraudulent behavior.

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