AFM 201 – Part 1 Auditing Fall 2007 Group Assignment 2 Publicized Cases of Alleged Audit Failures Involving Large Public Companies 1) Ten Publicized Audit Failures i. Parmalat (2003) - Deloitte & Touche Tohmatsu /Grant Thornton Misleading investors with “Brazen Fraud” was what the United States (US) Securities and Exchange Commission (SEC) had sued Parmalat for in 2003. It all began when Parmalat defaulted on a bond payment worth $185 million. This raised a flag for auditors and banks
Premium Arthur Andersen Accounting scandals Fraud
com/what-is-the-computer-misuse-act-of-1990.htm [Accessed 20 April 2010] Computer hope (1010)‚ [Online] How to prevent unauthorized computer access‚ Computer hope‚ Available from: http://www.computerhope.com/issues/ch000464.htm [Accessed 20 April 2010] Enron Corporation (2001)‚ Enron Annual Report 2000‚ Houston‚ Financial department‚ 2001‚ p3 Chris Uba (2009)‚ [Online] Fraudulent Accounting Practice‚ Businessworld‚ Available from: http://businessworldng.com/web/articles/940/1/Fraudulent-Accounting-Practice/Page1.html
Premium Enron Computing Financial statements
to $4.4 million in 2005 (Labonte‚ & Shorter‚ 2008). At Enron executives had incentives to achieve high-revenue growth because their salary increase and cash bonus amount were linked to reported revenues. “In the proxy statement filed in 1997‚ Enron wrote that “base salaries are targeted at the median of competitor group that includes peer group companies…and general industry companies similar in size to Enron. Employees had incentives to achieve high revenues and earnings targets
Premium Stock Accounting scandals Enron
EBSCOhost. Wiesen‚ J. (2003). Congress Enacts Sarbanes-Oxley Act of 2002: A Two-Ton Gorilla Awakes and Speaks. Journal of Accounting‚ Auditing & Finance‚ 18(3)‚ 429-448. Retrieved from EBSCOhost. Yuhao‚ L. (2010). The Case Analysis of the Scandal of Enron. International Journal of Business & Management‚ 5(10)‚ 37-41. Retrieved from EBSCOhost.
Premium Enron Accounting scandals Internal control
Corporate Scandal I. Olympus Updated: April 20‚ 2012 Olympus Corporation‚ founded in 1919‚ is a manufacturer of digital cameras and electronic equipment. Based in Tokyo‚ the multibillion-dollar company has operations worldwide. In mid-October 2011‚ Olympus was rocked by scandal when its former chief executive and president‚ Michael C. Woodford‚ who is British‚ was suddenly fired. The company’s chairman‚ Tsuyoshi Kikukawa‚ blamed a culture clash‚ but Mr. Woodford‚ a 30-year Olympus employee‚
Premium Enron Accounting scandals Arthur Andersen
of white collar crime would be the Enron scandal that took place from 1985 until 2001. Enron was an energy company which utilized a complex business model which confused even professional analysts and share holders. Enron was formed in 1985 by Kenneth Lay. Kenneth Lay and a staff of executives used accounting loopholes and poor financial reporting in order to steal large sums of money from shareholders. The shareholders filed a $40 billion dollar lawsuit. Enron was a major white collar crime case
Premium Sociology Enron Social class
Review the Enron case information presented in the textbook. If you were a high-level leader in this corporation‚ how might applying your personal ethics have changed the outcome? Greed‚ power and personal satisfaction are all characteristics that motivate people to do things that might not always be in the best interest of others. In the case of Lay and Skilling‚ along with dozens of other executives‚ this is exactly what happened. There was no acceptance of blame‚ only ignorance and death.
Premium Enron Ethics
groups or non-criminal‚ different‚ differentiated or differential‚ for Sutherland was the only possible explanation of the behavior Criminal. The theory of Sutherland is clearly reflected in this film: “Enron: the smartest guys in the room”. The ambition of the top executives of Enron: Jeffrey Skilling‚ Kenneth Lay and Andrew Fastow led them to commit the fraudulent bankruptcy
Premium Enron Kenneth Lay Andrew Fastow
Ethical Observations Sean Kearns ACC291 May 27‚ 2012 Unethical accounting behavior and the resulting practices of it within businesses today is a very hot topic since the Enron accounting scandal of 2001. One might ask how does a scandal of this proportion come to be and can it happen again? What situations could lead to unethical behaviors and practices in accounting today that might cause history to repeat itself? The author intends to answer these questions and shed light on some insight
Premium Enron Business ethics Accounting scandals
References: http://today.msnbc.msn.com http://www.creatingloyalty.com/story.cfm?article_id=165 Morris‚ G. (1998). The Importance of Integrity. http://ministryhealth.net/mh artcles/218 gm importance integrity www.cnnmoney.com Pasha‚ S. (2006). Former Enron CFO sentenced to 6 years. www.scribblers-ink.com Scribbler’s Ink (2005). What Do You Stand For? www.navpress.com Tamsey‚ R. (1987) Integrity in the Workplace. www.msnbc.msn.com The Associated Press (2005) Ex-Tyco CEO Kozlowski found guilty.
Premium Ethics Morality Enron