Ethics Violation

For this assignment, identify a company you have chosen to evaluate for an ethics violation. Provide a background of the company, including the industry in which it operates and a brief history of the company, and identify the ethics violation you will be evaluating.

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Specifically, the following critical elements must be addressed:


What company is the subject of the case? Why did you choose this company/ethical situation? What ethics violations were discovered?

Ethical Violations:

Who were the main participants involved in perpetrating the violations? Discuss the ethical responsibilities of professional accountants to the following stakeholders regarding the financial reporting process. How were the stakeholders affected by the ethics violations?



What AICPA Codes of Professional Conduct were violated?

What is the importance of independence, when is independence required, and why must you be independent both in fact and in appearance?

Did the main participants adhere to moral and ethical principles? Soundness of moral character? Honesty? In other words, discuss the case as it relates to the integrity of the main participants.

Did the main stakeholders, including the professional accountants, maintain their objectivity? Explain.

What were the implications of these violations on the business and accounting profession from the following perspectives?




Does the company have a specific code of ethics? Were any of the components of the code violated? Discuss.