1. Enron and the Sarbanes Oxley Act
This scandal brought more attention to financial fraud than ever before and ultimately it was that fear and attention that forced the SEC to increase regulations on corporate governance and financial disclosure through the implementation of the Sarbanes Oxley Act (Buckstein). ... Stock options also cause pay to be excessive and can encourage corporate executives to inflate their earnings so the stock prices rise because the higher the stock price goes, the more money they make. This incentive of greed for more money ends up clouding their good judgment and results in bad ethical decisions, a...
- Word Count: 3410
- Approx Pages: 14
- Has Bibliography
- Grade Level: Graduate