The best way to understand the numerous problems that have come as a consequence of corporate misconduct in this modern world is through understanding and studying about the various cases of high profile corporate misconduct that have occurred in recent times. In this project, the researcher shall focus on the Satyam scandal, Volkswagen emissions scandal and the ENRON scandal.
The Satyam scam occurred as a result of fraudulent auditing practices and poor corporate governance regimes eventually resulting in corporate misconduct and one of the biggest scams India has ever seen. The company misrepresented its accounts both to its board, stock exchanges, regulators, investors and all other stakeholders. It was a case of fraud that misled the market and various other stakeholders by lying about the company’s financial health. Even basic facts such as revenues, operating profits, interest liabilities and cash balances were grossly…show more content… The Environmental Protection Agency (EPA) found that many VW cars being sold in America had a "defeat device" - or software - in diesel engines that could detect when they were being tested, changing the performance accordingly to improve results. The German car giant has since admitted cheating emissions tests in the US.
VW has had a major push to sell diesel cars in the US, backed by a huge marketing campaign trumpeting its cars' low emissions. The EPA's findings cover 482,000 cars in the US only, including the VW-manufactured Audi A3, and the VW models Jetta, Beetle, Golf and Passat. But VW has admitted that about 11 million cars worldwide, including eight million in Europe, are fitted with the so-called "defeat device".
The company has also been accused by the EPA of modifying software on the 3 litre diesel engines fitted to some Porsche and Audi as well as VW models. VW has denied the claims, which affect at least 10,000