Historical Examples
Wells FargoIn 2016, Wells Fargo had an employee benefit system that incentivized employees who opened new accounts for customers. That system, and poor management, led to employees opening as many as 2 million accounts without customer authorization over a five-year period.
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WatergateThe greatest political scandal in American history, starting with the arrest of 5 men burglarizing the Democratic National Committee, and ending with the forced resignation of President Nixon. Watergate highlighted everything from illegal campaign tactics to Presidential abuse of power and illegal wiretapping.
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EnronA scandal that ended in largest American bankruptcy of the time, Enron famously lied to investors by using dirty accounting tactics and offshore accounts to hide their losses and failures. Share holders lost nearly 11 billion dollars between the mid 2000's and 2001. Stock prices during that time fell from $90 per share to $1 per share before they bankrupt. Enron took the appearance of a flawless company, up until the very end when it's stock inflation all came crumbling down.
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BPIn 2010, British Petroleum set the record for the largest marine oil spill by ignoring regulations and attempting cost-cutting measures. Their negligence led to the deaths of 11 people and the dumping of an estimated 4.9 million gallons of oil into the Gulf of Mexico. The environmental toll was astronomical. As a result of the oil spill 150,400 sea birds and 167,600 sea turtles were killed, and Louisiana's Barataria Bay dolphins suffered a 51% decrease in population. BP then proceeded to lie to US Congress about severity of the oil leak, and the extent of the damage.
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Wells Fargo
Tayan, B. (2019). The Wells Fargo Cross-Selling Scandal. Rock Center for Corporate Governance at Stanford University Closer Look Series: Topics, Issues and Controversies in Corporate Governance No. CGRP-62 Version 2.
https://papers.ssrn.com/sol3/papers.cfm?abstract_id=2879102##
Watergate
Schudson, M. (2004). Notes on Scandal and the Watergate Legacy. American Behavioral Scientist, 47(9), 1231-1238.
https://journals.sagepub.com/doi/abs/10.1177/0002764203262345?casa_token=waPWgTYlO1QAAAAA:PAPxIwZSvXWA8LPsyzLhIW_SJwk_QIoz_hcoeJfIcVhJzlvzQEUhl7IAhS3pelRB6I7KQx4qjl-Idg
Enron
Li, Y. (2010). The Case Analysis of the Scandal of Enron. International Journal of Business and Management. 5(10).
http://citeseerx.ist.psu.edu/viewdoc/download?doi=10.1.1.663.9418&rep=rep1&type=pdf
BP
Spencer, D.C. & Fitzgerald, A. Crime Law Soc Change (2013) 59: 209. https://doi.org/10.1007/s10611-013-9422-5
https://www.noaa.gov/explainers/deepwater-horizon-oil-spill-settlements-where-money-went
Authors: Troy Cardwell, Michael Lynch, Daniela Oramas Mora, Leo Genco, and Julianna Kirschner
USF S.P.R.U.C.E. Lab. (2019, November 9th) Corporate Crime, Online, Source Book, 2000-2017. Retrieved from https://sprucecorporatecrime.weebly.com
All rights reserved © 2019, 2020 USF S.P.R.U.C.E. Lab.
Tayan, B. (2019). The Wells Fargo Cross-Selling Scandal. Rock Center for Corporate Governance at Stanford University Closer Look Series: Topics, Issues and Controversies in Corporate Governance No. CGRP-62 Version 2.
https://papers.ssrn.com/sol3/papers.cfm?abstract_id=2879102##
Watergate
Schudson, M. (2004). Notes on Scandal and the Watergate Legacy. American Behavioral Scientist, 47(9), 1231-1238.
https://journals.sagepub.com/doi/abs/10.1177/0002764203262345?casa_token=waPWgTYlO1QAAAAA:PAPxIwZSvXWA8LPsyzLhIW_SJwk_QIoz_hcoeJfIcVhJzlvzQEUhl7IAhS3pelRB6I7KQx4qjl-Idg
Enron
Li, Y. (2010). The Case Analysis of the Scandal of Enron. International Journal of Business and Management. 5(10).
http://citeseerx.ist.psu.edu/viewdoc/download?doi=10.1.1.663.9418&rep=rep1&type=pdf
BP
Spencer, D.C. & Fitzgerald, A. Crime Law Soc Change (2013) 59: 209. https://doi.org/10.1007/s10611-013-9422-5
https://www.noaa.gov/explainers/deepwater-horizon-oil-spill-settlements-where-money-went
Authors: Troy Cardwell, Michael Lynch, Daniela Oramas Mora, Leo Genco, and Julianna Kirschner
USF S.P.R.U.C.E. Lab. (2019, November 9th) Corporate Crime, Online, Source Book, 2000-2017. Retrieved from https://sprucecorporatecrime.weebly.com
All rights reserved © 2019, 2020 USF S.P.R.U.C.E. Lab.