The Anatomy Of Corporate Fraud Essay

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Article Critique #1 The first article researched was The Anatomy of Corporate Fraud: A comparative Analysis of High Profile American and European Corporate Scandals. The abstract discusses the analysis conducted on the three major American accounting scandals; Enron, WorldCom, and HealthSouth, and compares to the three major European accounting scandals; Parmalat, Royal Ahold, and Vivendi Universal. Bahram Soltani (2014), also discusses within the abstract the different areas reviewed regarding why the accounting scandals occurred; ethical climate, tone at the top, bubble economy and market control, fraudulent financial reporting, accountability, control, auditing, governance, and management compensation (p. 251). Between 2001 and 2003 there were several corporate accounting scandals that occurred that took the world by surprise. A lot of investors lost a lot of money and several employees lost their jobs. These accounting scandals occurred due to management misconduct, fraud, and scams that occurred within these companies. Within the United States, the big cases typically viewed are the Enron, WorldCom, and HealthSouth cases, however, it is forgotten that Europe experienced a similar situation with Parmalat, Royal Ahold, and Vivendi Universal. Soltani (2014), discusses the importance of understanding the motivation and causes of financial corporate scandals. Soltani (2014) notes three research questions associated with this article: 1. “What are the common
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