Facts of Corporate Scandal

Semester 2, 2014

Thursday 11.30am-2.30pm

Victor Borg

Semester 2, 2014

Thursday 11.30am-2.30pm

Victor Borg

Zoey Shin Yee Song s3416078 Catherine Sutherland s3280918 Genevieve Tailiki s3379922 Thursday 11.30am-2.30pm Victor Borg

Corporate Scandals: Olympus Corporation| One.Tel | Adelphia

ACCT 1081 Ethics and Accountability

RMIT UNIVERSITY

Zoey Shin Yee Song s3416078 Catherine Sutherland s3280918 Genevieve Tailiki s3379922 Thursday 11.30am-2.30pm Victor Borg

Corporate Scandals: Olympus Corporation| One.Tel | Adelphia

ACCT 1081 Ethics and Accountability

RMIT UNIVERSITY

TABLE OF CONTENTS

INTRODUCTION 2

FACTS OF CORPORATE SCANDALS 2

OLYMPUS CORPORATION 2

ONE.TEL 3

ADELPHIA 4

SIMILARITIES BETWEEN THE CORPORATES 5

STAKEHOLDERS INVOLVED IN THE SCANDAL 6

OLYMPUS STAKEHOLDERS 6

ONE.TEL STAKEHOLDERS 7

ADELPHIA STAKEHOLDERS 8

ISSUES INVOLVED IN THE SCANDAL 9

i. ETHICAL ISSUES 9

ii. LEGAL ISSUES 11

iii. ACCOUNTING ISSUES 12

iv. CORPORATE GOVERNANCE ISSUES 13

SIMILARITIES BETWEEN THE CORPORATES 15

COMPARISON WITH ENRON 16

IMPROVEMENTS AND CHANGES OF LEGISLATIONS 18

CONCLUSION 19

REFERENCES 21

INTRODUCTION

This report studies the corporate scandals surrounding Olympus, One.Tel and Adelphia. It aims to describe the corporate designs of each company and what were the causes behind their critical corporate failings.

Through evaluating the; legal, ethical, accounting and corporate governance details incorporated in each company case, we strive to bring a fresh insight and critical exploration of each of these company's corporate misconduct.

FACTS OF CORPORATE SCANDALS

OLYMPUS CORPORATION

The multi-million dollar company Olympus Corporation has notably broaden the scope of camera industry to the digital imaging, bioscience, and...