Unethical Behavior Article Analysis

Effect of Unethical Behavior Article Analysis ACC/291 In the exist decade there have been several monolithic bill scandals that have ca characterd the enforcement of clean laws and reporting regulations for publicly traded companies. These laws, such(prenominal) as the Sarbanes-Oxley Act of 2002 (SOX), have been put in mail to entertain the public investors from making ill-conceived investment ventures all overdue to untrue reporting by a corporation. This article outline provide explain what circumstances led to the creation of these new laws and merely why they really do protect investors from unethical invoice practices. Embezzlement as defined by http://dictionary.com is; to hold back fraudulently to ones own use, as money or space entrusted to ones c are (Dictionary.com, 2012). In the article titled flaccid excrete to Understanding ENRON Scandal Summary, written by laws.com states that embezzlement, whitethorn be defined as the criminal natural acti on involving the flagitious and unethical attainment of monies and funding by employees; typically, finances that are embezzled are intended for company use in lieu of personal use, as it pertains to the ENRON lineament directly. some(prenominal) the definition, embezzlement is illegal and unethical (Laws.com, 2012).

In the year 2000, eyebrows started beingness raised at the questionable footnotes deep down ENRONs monetary statements. The footnotes very briefly described transactions by limited think entities that ENRON was not reporting within the unfeigned fiscal statements because by law, only tran sactions through SPEs of over 3% were requir! ed to be reported. Because of ENRONs size and structure, the occupation within the SPEs was able to be undisclosed to the public. Behind the scenes, ENRON was pickings the weakness assets from previous acquisitions and exploitation them to trade with the special purpose entities to handle their bad debt and low leverage to acquire to a greater extent financing. ENRON was using the SPEs to hedge the losses in previous investments,...If you need to give rise a full essay, order it on our website: OrderCustomPaper.com

If you want to get a full essay, visit our page: write my paper