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            | Topic: | 
            
                
                    Business
                
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            | Number of pages / Number of words: | 
            
                9 / 2464             | 
        
                
    
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Before its collapse, it was at top ranking and had huge share of this industry. The major causes or reasons behind Enronâs fraud can be summarised as
- Hiding losses from public, investors, stakeholders and authorities.
 
- Inside trading.
 
- Wrong diversification of business.
 
- False analysis and annual reports...
 
        
        
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It follows governance fraud, at Enron and its accountants Andersen, which resulted in loosing investorâs confidence. Main bankruptcy scandals of USA are Enron, WorldCom, Adelphia, Xerox, Tyco, Global Crossing, and Qwest etc and we can summaries their financial irregularities in the following table
Table
Company Country Scandals
Ahold NL False earnings show in financial statements
Enron USA Not show debt in SPEs
Parmalat Italy wrong recorded deals and transactions
Tyco USA False profit, and wrong business records, Fat cats
WorldCom USA Expenditures recorded as capital expenses
Xerox USA False Speed up their revenue
Shareholders (investors) activism can also put pressure on corporations for good governance...
        
        
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            General points of the essay
            
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