Reference no: EM131056593 , Length: word count:3000

Governance and Fraud assignment-

This is an individual written assignment with two parts.

Part 1- Answer the following questions based on the case study of Enron:

Note: You are required to watch "Enron the smartest guys in the room" (available on cloudsite) as background understanding and answer the questions below. Video link: https://goo.gl/NF98JL.

(i) Analyse the corporate culture at Enron and its management's behaviour. Include in your analysis, the normative theory of ethics which you would consider most relevant in driving the decision making at Enron.

(ii) At which stages on Kohlberg's theory of cognitive moral reasoning and development do you consider Jeff Skilling is at? Justify your answer.

Part 2-

There have been numerous corporate fraud cases in the past decades, most of which caused the companies affected to subsequently experience financial difficulties and embarrassment. Select three examples of a fraud case, one from each location namely, Australia, Asia and European (including United Kingdom) countries. Each case study must involve the following different types of fraud: one example of financial statement fraud, one example of asset misappropriation and one example of corruption. Address the following questions regarding each case study:

(i) Describe the type of fraud, how it was conducted, the extent to which the fraud occurred (duration, amount), how the fraud was uncovered and recommend ways in which the board, internal auditor and external auditor could have assisted in fraud prevention and detection.

(ii) Explain the causes of each fraud selected using the fraud triangle and discuss how in each case, the fraud affected the fraudster, the victim organisation and regulators.

3000 Words.