World - WorldComs money. The owners interests are in...

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Evan Brown BUS 101 Terri Barr 19 April 2011 Enron/ WorldCom WorldCom, a telecommunications company was audited by the SEC and there were numerous accountancy problem. WorldCom had internal auditors that had lots of issues to cover up by the time the SEC stepped in. They were putting data on secret CDs to run away from some of the accountancy issues. WorldCom had a long list of issues regarding their finances. They had a chaotic billing system that ended up showing $685 million in uncollectable revenues. The weirdest part is that WorldCom was recognized for so many awards and innovative techniques prior to this investigation. The stakeholders in this case include the owners of WorldCom, the community which accepts its philanthropic donations, employees and the overall community affected by
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Unformatted text preview: WorldComs money. The owners interests are in conflict with the rest of the stakeholders, especially with Mr. Ebbers. It seemed as though he lived a life of great luxury but he got that money from loans through WorldCom. It seemed as if WorldCom was his personal bank when he was in trouble. I think the accountancy issues contributed the most to the fall of Enron along with bad and corrupt management. They seemed obsessed with greed, when they said “Our goal is to be the number one stock on wall street.” The fact that they had internal auditors contributed to a lot of fraud and ways an outlet to pursue their greed. I think there were a lot of bli...
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This document was uploaded on 11/02/2011 for the course BUS 101 at Miami University.

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