Ethical Behavior Analysis of Bernie Madoff & Enron
Bernie Madoff …show more content…
The Enron scandal opened the eyes to other companies that accounting practices needed to have a solid process stocked full of checks and balances, segregation of duties, and ethics. I think these traits would be a great start for an accounting department’s code of ethics. Having people delegated to certain tasks will allow for questions to be asked thus avoiding fraudulent activity in the long run. Setting ethical accounting practices like enforcing the laws of GAAP will also be a major contribution to a company’s code of ethics.
All in all, the financial scandals of Enron and Bernie Madoff were both completely avoidable, unnecessary, and an example of business practices at their worst. Each scandal exemplified what a lack of business ethics, ethical values, and social responsibility can result in. In both cases, the individuals that decided they would blatantly lie to their investors did so for the sole reason of extorting more money out of the investors. While their plans worked in the short term, they definitely ruined their organization and ultimately their lives in the long run.
Forbes.com, S. (2002, April 02). Enron's endgame. Retrieved from