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Unethical Behavior Analysis

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Behind the Enron controversy was an accountant named Arthur Anderson. Arthur was hired as a financial accountant for the company. Upon investigation it had been discovered that he was creating false earnings reports which in turn was hiding huge amounts of debt and falsely inflating stock prices to the point of no return. The accounting practices that were involved were the financial reports being made up falsely to cover up how much debt and trouble the company was truly in to the inflation of stock prices being raised so high there was no way there was any going back from that. A major accounting firm played a huge role in the falsification of these documents and even shredded the true paperwork that showed how far in debt Enron was truly in and their true earning reports. If I was an accountant for Enron I would have to say that I would have never gotten involved with a company who wanted to falsify any of their business records to make it look as though they were doing financially well. I would be too scared of the legal trouble I would get it when and if I was caught along with the other individuals within the company. I think that being honest on the reports could’ve definitely prevented the controversy from getting as large as it did. They were able to grow and go over seas where they skyrocketed power prices and caused riots. If this company was watched more closely by more people I think this could’ve been a preventable situation. The affect was the fall of the company and the many employees that ended up jobless and moneyless because they invested everything into Enron stock. Many of their employees had to claim Bankruptcy due to the fall of the

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