Business Commons^™

Accounting For Corruption: Abuse Of Rank And Privilege, Kathleen A. Cooper, Ian K. Fargher

Ian Fargher

Rank, privilege and responsibility should be inseparable. However, investigations ofcorporate scandals typically reveal rank, privilege and irresponsible behaviour gohand in hand. The publicity and recriminations surrounding corporate scandals tendto focus first on corporate executives implicated in poor management or otherinappropriate behaviour and then on the relevant regulators. Where financialmanipulation is revealed, the external auditor also comes under scrutiny. Thedeficiencies in corporate regulation including accounting and audit standards aresubject to less public inspection but are often the subject of enquiry by governmentappointedbodies. Recommendations for regulatory reform follow and the public isassured the risk of similar scandals is minimised or at least …