Enron Case Scandal
This essay underscores the probabilities to reappear of such an Enron scandal in the future. Although the scandal is characterized by a life sentencing judgment it is thought that with such a severe sentence could not serve as an appropriate solution to the future malefactor. This is deducted from the human nature of repeating the same mistakes despite the strict follow up connected with such a scandal. Enron’s top leadership Enron's bankruptcy case resulted in the top executive prosecution being charged with criminal acts that included taking part in money laundering, frauding and illegal insider trading activities (Burke & Ronald 44). For instance, Ben Glisan, who acted as a treasurer was charged with two dozen different counts that associated him with fraud, conspiracy, and laundering.
Consequently, the blame also goes back to Lay, according to the research conducted by reporter Peter Elkind observation imposing that Lay had the biggest responsibility to take care for the Enron activities to be performed on the right measures (Bradley & Robert 50). However, this is opposed by Lay’s effort to try to cover his colleague about the activities being done in the corporation. All the Enron corporation leaders did not upkeep the required integrity action to ensure the company’s activities are performed professionally. Future signs of trouble The first signal for the reappearance of such a scandal would be the telltale sign to try to fake organizational books. However, besides Enron’s case this can readily happen to a neutral corporation in the future.
Also, top managers within a corporation might use the sophisticated internet application in a frauding organization. This can be a straightforward strategy that could be used to run a corporation in the future. SOX prevention strategy The occurrence of the Enron scandal attracted congress attention to make a close attention to provide preventive measures against such a scandal in the future. However, it is also important for the government to intervene to ensure the implementation of such a policy. The Congress came up with a ruling that could govern the occurrence of such a case. However, the stockholders have the great loss since they act as institutional investors acting as the watchdogs for all the funds that belong to a wide range of individual including the employees and public retirees.
In order to prevent an Enron scandal case in future has been the application of neutral institutional investors (Admati & Anat 88). These institutions act by supervising over the funds for the members' such institutions include California Public Employees’ Retirement System. This institution has acted as a wonderful public money guardian. The government regulators play critical roles in maintaining strictly follow-ups of regulations that are strict enough to safeguard stockholders. For instance, Lay to some point behaves as if not to understand whatever was happening. Rehabilitation could be useful to gauge the individuals' mind and characters before issuing a court ruling. Also, the suspect did not undergo a punishment factor that would give more hidden information from the individuals about the Enron’s underhand activities that took place.
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