How Does Company Management Deceive Investors?

[Goodcat49]

There are well-known stories when top managers pursue their own interests above the interests of the company. Spivvery can be made by forgery of accounting reports, manipulations with confidential information, overstatement of company profits, bribery of auditors and so on. We collected some high-profile cases when top managers cheated investors.

"Century Swindler" Bernard Madoff
In 1960 he created Bernard L. Madoff Investment Securities LLC, which later became a financial pyramid. But it only came to light in 2008. The damage from his cheatings is estimated at about $65 billion. The businessman deceived investors and regulators by forging accounts and bribery. Currently Bernard is serving his 150-year’s sentence in an American prison.

 Jeffrey Skilling, a Symbol of Corporate Fraud in the USA
The Enron company, which established by Jeffrey Skilling, has been known as the most innovative company in USA for 6 years period. Investors were holding the stocks of the energy giant even when it became obvious to everyone that the company is going to bankrupt. As it turned out later, the company's accounting statements were falsified in order to attract investors. As a result, investors didn't know anything about Enron's problems while executive director Jeffrey Skilling had been well-informed and afterwards he was imprisoned for 24 years. To clear things up - he didn't admit his guilt.

Read the details in the article of Coinidol dot com, the world blockchain news outlet: https://coinidol.com/how-does-company-management-deceive-investors/

[Cordillerabit]

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