Companies, Inc, and then in 1992 it merged with Advanced Telecommunications Corp. With these two mergers WorldCom Inc. grew into a large company with in the US and globally as well (Pandey & Verma, 2004). It was not until WorldCom Inc merged with MCI Communication Corp. that it began to have business with over 280 countries and locations worldwide (Pandey & Verma, 2004). WorldCom was listed as one of the Fortune 500 Company in Fortune magazine for the telecom sector. Even though WorldCom Inc.
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Chad Ducharme Macroeconomics What do Enron, Tyco, and World-com have in common Intro The purpose of this work is to show you what happens when you try to cheat the system. the reason the government does audits and checks for so many frauds is because people nowadays will do whatever it takes to make a little extra money. What these companies did not only hurt themselves in the long run but hurt the millions of workers and families that were connected with them. The Companies Enron was formed
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Page 1 FOCUS - 1 of 3 DOCUMENTS Mondaq Business Briefing November 7, 2006 Canada: Why Bernie Ebbers is Serving a 25-Year Jail Sentence BYLINE: By Garfield Emerson LENGTH: 6613 words 1. Background On September 26, 2006, Bernard J. Ebbers ("Ebbers"), the former Chief Executive Officer of WorldCom, Inc. ("WorldCom"), reported to a federal prison in Oakdale, Louisiana, to begin serving his 25-year jail sentence from his conviction by a jury on nine counts of conspiracy, securities fraud
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WorldCom Characters: 1. Val- Scott Sullivan (CFO) 2. Mila- Cynthia Cooper (Internal auditor) 3. Leslie- Employee 1 4. Kylie- Employee 2 (a junior auditor working with Cynthia Cooper) 5. Donna- Arthur Andersen 6. Brynner- David Myers (Controller) 7. Patrick- Bernard Ebbers (ex-CEO) 8. Ivy- The Government (SEC) 9. Ruby- Employee 3 Scene 1: INTERROGATION Setting: Interrogation room Individual frames on each interviewee (Scott, Cynthia, The Employees, Andersen
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2000 they merged with phone company GTE and took on the name Verizon, which is Latin for truth and horizon. Later in 2005, Verizon acquired MCI Inc. also known as WorldCom. Verizon gained large scale business customers, long haul carriers, control of most of the east coast and it became the beginning of a market advantage when they officially incorporated MCI and became Verizon Business. Verizon Business became the largest telecommunications company in the world in terms of assets and profits (Forbes
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WorldCom the Rise and Fall WorldCom began in 1983 during the breakup of AT&T, which enabled competitors to start selling long distance telephone service to individuals and business customers. A group of investors from Hattiesburg, Mississippi decided to start a communications company called Long Distance Discount Services (LDDS). The company lead by Bill Fields leased a local Bell System Wide-Area Telecommunications Service (WATS) line and resold time on the line to businesses. The sophisticated
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acquisition of many of these companies and accumulated $41 billion in debt. Two of these acquisitions were particularly significant. The MFS Communications acquisition enabled WorldCom to obtain UUNet, a major supplier of Internet services to business, and MCI Communications gave WorldCom one of the largest providers of business and consumer telephone service. By 1997, WorldCom's stock had risen from pennies per share to over $60 a share. Through what appeared to be a prescient and successful business strategy
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The accounting fraud at WorldCom was the result of corporate supremacy, individual liability, and an ultimate collapse of their system of in-house controls that can all be attributed to greed, manipulation and a lack of accountability for top executives. Bernie Ebbers, at the helm of it all, lacked focus, strategic direction, and led WorldCom with a consistently declining moral compass. It is thought that the ethical turn down of WorldCom’s top executives began with the U.S. Justice Department’s
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‘a personal loan of 341 million dollars’ being handed out to him. Ebbers wanted to ease the above pressures. In order to execute this, Ebbers exercised his power as CEO by ‘pressurising … and intimidating’ (Jennings, Marianne, 2012, Business Ethics: Case studies and
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WorldCom submitted the largest bankruptcy filing in United States’ history after admitting improperly accounting for more than $3.8 billion dollars in expenses. The company used acquisitions to spurt large growth. Two of WorldCom’s acquisitions included MCI Communications and MFS Communications (UUNet). This caused WorldCom to appear more favorable on Wall Street, and many banks, brokers, and investors gave strong buy recommendations. This was not unethical; however, what investors and others were to uncover
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