Corporate And Accounting Ethical Scandals - 1492 Words

Introduction Over the past two decades there have been numerous corporate and accounting ethical scandals. In 2002, Adelphia Communications was among the most publicized ethical misconduct disasters. The breakdown of corporate integrity collectively cost Adelphia shareholders billions of dollars in fraudulent financial acts, marred customer/client trust, and saw senior management imprisoned (Markon Frank, 2002). Operating a business requires the owners to follow ethical guidelines that promote trust and loyalty between themselves and all contributors. Businesses on a global scale normally apply one or more ethical theories to help establish a standard morally right and acceptable on a universal scale. This paper will express my opinion of how the Adelphia Communications’ executives violated the trust of the company’s shareholders and the trust of that of the larger public based upon the deontological ethic theory. It will also look at how Kant’s Categorical I mperative (CI) would apply to two key events of scandal. Let’s begin with a brief history Adelphia Communication. Adelphia Communications Overview Adelphia Communications was founded in 1952 in Coudersport, Pennsylvania by two brothers, John and Gus Rigas, when they purchased a small cable television (TV) franchise. In 1972 the company was formally incorporated. Soon after in 1986 the company was publicly traded on the NASDAQ stock exchange. After going public Adelphia was still under the Rigas family control.Show MoreRelatedLegal And Regulatory Environments And Ethics1712 Words   |  7 Pages1. 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