Kenneth Lay

do this. Take for example one of the bank’s ads, it says they are fully devoted to compensating those impacted, but how do you compensate someone who has seen reduced credit scores from bouncing a check in an account that there was supposed to be money in? (Hiltizk, 2016). How do you correct something that took customers years to establish? There seems to be no solid answer to these questions, only vague promises and an absence of a definitive plan in place to make things right, which making…

When the American heavy metal band Metallica, unleashed their self-funded movie, the 2013 American IMAX thriller concert film - 'Through The Never,' it stimulated the interest of Metallica's fans, only to leave them perplexed and confused by its plot, which is extremely complex and difficult to follow. The 'Through The Never' film was such a commercial failure that the members of the Metallica band lost millions of their own money. In an interview with the Metallica's fan club magazine, the…

The Chief Financial Officer David Dyck discovered $300-million in expenses were misclassified after he attempted a re-examination of the company’s accounting practices. CEO Dave Robert gained an “individual account” of 185%. When working out the full compensation, his total compensation roughly totalled $3.5 million for the year. After news of accounting irregularities, Penn West Petroleum Ltd. shares falling 17.4% before pulling back. Penn West shares closed at $8.57, down 13.78%, still some…

Brian Cruver was a firsthand witness to the disturbing, surreal, and hilarious moments of Enron's long dance with death. When he first entered Enron's office complex, "the Death Star," he was the epitome of the Enron employee: young, brash, sporting a shiny new MBA, and obscenely overpaid. From his first day, however, when he was told that some colleagues hadn't really wanted to see him hired, he found himself in the middle of a venal greed machine whose story unfolded with all the absurdity and…

the outside world. Even though what they were doing was very illegal, teamwork played a huge role. Leadership played a significant role too, but in this case, the leader wasn’t a “good” leader because the whole scheme was illegal. Each leader, Ken Lay and Jeff Skilling empowered their workers and inspired them. They trusted their leaders because of their intelligence and their recognition of them. They always told them to act as if they are the best…

Disaster capitalism, as coined by Naomi Klein in her book The Shock Doctrine, is the exploitation of a community suffering from a state of shock as a result of a natural, political, or biological disaster in order to make a monetary profit. The collective people sharing in this catastrophe are in a state of shock rendering them into a position of heightened vulnerability. This heightened vulnerability opened the door for major worldwide corporations to come in under the guise of providing aid…

Enron Case Introduction After watching the video “Enron: The Smartest Guys in the Room”, (Youtube), several issues came into light. It is known that Enron has been the seventh largest company to declare the bankruptcy in the year 2001. The reasons of their bankruptcy were becoming clear as many investors lost millions of dollars, due to which the lawmakers sought to enact some legislation so that these activities could be prevented. Obviously the smartest people from Enron had entered various…

Throughout my accounting studies so far, whistleblowers have been praised for their heroic actions that lead to the collapse of a giant corporation. However, the heroic actions and collapse are the seldom times that whistleblower protection laws work. In C. Fred Alford’s book: Whistleblowers: Broken Lives and Organizational Power, Mr. Alford explores the corporation and systems irrational behavior that makes whistleblowers lose faith in humanity and the justice system. Throughout the book, Mr.…

Hizmete Özel / Confidential Hizmete Özel / Confidential MGMT 512: Corporate Governance Sultan Orman: 0055134 Corporate Failure: Toshiba Accounting Scandal (2015) Summary of the Case: Everything began with the results of an independent report created by a committee of people consisting of independent accountants and lawyers in July 2015. The CEO of one of the leading companies in electronics and technology sector, Toshiba from Japan, announced that he is resigning of his…

Prudential The time when the protagonist Arthur Ryan was brought in as CEO, Prudential was charged with the largest investor fraud in US history. Prudential had defrauded investors of close to $8 billion and eventually had to shell out $371 million as settlements and fines. The most common solution to overcome the economic condition is layoffs. The critical time in highly competitive market leads Arthur Ryan to downsizing environment (p.1). Management decision in downsizing creates gap between…