Case Study 1 - forensic - Advanced Auditing Colorado...

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Advanced Auditing 1 Colorado Technical University Course: ACCT 648 Title: Forensic Accounting 34: Sherron Watkins Name: Kathrine Stewart Email: [email protected]
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Advanced Auditing 2 Enron’s Sherron Watkins On August 14, 2001 Sherron Watkins sent Enron’s Chairman Kenneth Lay a memo regarding the misleading accounting treatments that Enron was using. Sherron Watkins was the vice-president of Enron and had been with Enron for eight years. In this memo, Sherron tells Kenneth Lay about her reservations regarding what is happening with the accounting situation. This memo was sent to a person at Enron not to anyone outside of the Enron Company. The first question is was Sherron Watkins a whistle-blower? The first thing we need to know is what a whistle-blower is exactly. A whistle –blower is someone who tells the public or someone with authority about alleged dishonest or illegal activities occurring in the company (in this case Enron). Therefore if you see someone stealing; you tell the police. This is not what
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This note was uploaded on 07/29/2011 for the course ACCT 638 taught by Professor Dr.spicer during the Spring '11 term at Colorado Technical University.

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Case Study 1 - forensic - Advanced Auditing Colorado...

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