Enron Corporate Compliance Benchmarking Paper
Many companies are involved positive and negative risk that it takes. Enron was a company caused by poor corporate governance. It has also triggered a flood of legislative and regulatory changes and codes of conduct across the developed and emerging worlds to improve systems for ensuring that public companies are run properly in shareholders' interest (Good practice boost performance. Euromoney, [serial online]. September 2003). The situation Enron faced as a company was alleged corporate fraud. It responded by ensuring that the company rules and policies were updated with the standard set by Sarbanes-Oxley requirements. The outcome for Enron is to build the company back to the original foundation that it was started from.
Situation of Enron
Enron was a financial scandal that was reveled in the late 2001. After a series of revelations involving irregular accounting procedures bordering on fraud, perpetrated throughout the 1990s, involving Enron and its accounting firm Arthur Andersen. Enron filed for bankruptcy on December 2, 2001. Enron's plunge occurred after it was revealed that much of its profits and revenue were the result of deals with special purpose entities (Enron scandal 2001.). Enron as a company had many unresolved problems dealing with financial scandals. Not having the right people in management cause Enron to have a lose-lose situation.
Responding to the issue
To resolve the problem at hand Enron sought out for help. A few days into November 2001 it became known that the Enron management had been aggressively pursuing new investment or an outright buyout (Enron scandal 2001). Its management apparently found a buyer when the board of Dynegy, voted late at night on November 7 to acquir ...