Cooking the books. Why are universities crying poor despite massive cashflows?

Key points

• Investigators James Guthrie and Adam Lucas argue that Australian public universities present a financial crisis that audited accounts do not support.
• They say universities report managerial "underlying" results instead of statutory accounts, which show large net assets and operating surpluses.
• The authors point to job cuts, consultant spending and property ventures, and call for laws that would require reconciliation with statutory accounts, full disclosure of spending and personal executive accountability.