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From Enron to Reform: A Financial History of the United States 20012004 [Hardback]

  • Formāts: Hardback, 752 pages, height x width: 246x174 mm, weight: 1505 g
  • Sērija : Financial History of the United States
  • Izdošanas datums: 06-Jun-2022
  • Izdevniecība: Routledge
  • ISBN-10: 1032161213
  • ISBN-13: 9781032161211
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  • Formāts: Hardback, 752 pages, height x width: 246x174 mm, weight: 1505 g
  • Sērija : Financial History of the United States
  • Izdošanas datums: 06-Jun-2022
  • Izdevniecība: Routledge
  • ISBN-10: 1032161213
  • ISBN-13: 9781032161211
Citas grāmatas par šo tēmu:

Originally published in 2006, this book examines the collapse of the Enron Corp. and other financial scandals that arose in the wake of the market downturn in 2000. Part 1 reviews the market book and bust that preceded Enron’s collapse. It then describes the growth of Enron and the events that led to its sensational failure. Part 2 examines the role of the Securities and Exchange Commission’s full disclosure system in corporate governance and the role of accountants in that system. Part 3 reviews the meltdown in the telecoms sector and the accounting scandals that emerged. Part 4 traces the remarkable market recovery that followed the financial scandals and the resumption of the growth of finance in America.



Originally published in 2006, this book describes the Enron era financial scandals that raised widespread concerns over the integrity of U.S. financial markets.

Recenzijas

Jerry Markham, as one of the legal academys leading commentators on financial issues, is uniquely qualified to write on Enron. [ This book] provides a framework to understand and appreciate not only what caused the plethora of corporate scandals, but how society and the law should deal with these problems and avoid them in the future. Christian Johnson, Loyola University Chicago School of Law, USA.

This is a comprehensive and lucidly written account of a period that will stand out for years in the economic and regulatory history of the United States. Peter J. Wallison, American Enterprise Institute, USA.

Preface xi
Acknowledgments xiii
Introduction xv
Photographs follow page 302
I The Stock Market Bubble and Enron
1 The Stock Market Bubble
3(46)
Financial Markets
3(1)
The Market Boom
3(1)
Raising All Boats
4(1)
Run-Up in IPO Prices
5(2)
Structured Finance
7(1)
Collateralized Debt Obligations
8(1)
New Instruments
9(2)
Commodities Futures Modernization
11(2)
Traditional Markets
13(2)
Electronic Communications Networks
15(2)
Broker-Dealers
17(3)
Merger Activity
20(1)
Fraud and Abuses
21(1)
Fraud Schemes
21(2)
Ponzi Schemes
23(2)
Electronic Fraud
25(2)
Pump and Dump Schemes
27(2)
Other Problems
29(1)
Executive Compensation
30(3)
Expensing Options
33(1)
Attacks on the Markets
34(1)
The First Attack
34(1)
The Market Reacts
35(2)
The Fed Reverses Course
37(1)
Economic Decline
37(2)
The Damage Is Done
39(1)
Deficits and International Problems
40(2)
Prelude to September 11
42(1)
The 9/11 Attack
42(2)
Restarting Wall Street
44(2)
Coping With Terror
46(3)
2 The Enron Corp.
49(46)
A Company Is Born
49(1)
Creating a Name
49(1)
Enron's Management
50(1)
Jeffrey Skilling
51(1)
Andrew Fastow
52(1)
Enron Values
53(1)
Pipeline Operations
54(1)
Deregulation
54(1)
Trading Operations
55(2)
Mark-to-Market
57(2)
Wind Farms
59(1)
Foreign Operations
59(1)
Foreign Problems
60(1)
Enron Growth
61(1)
Enron Online
61(1)
Electricity Market
62(1)
Broadband
63(2)
Merchant Investments
65(1)
Financial Results
65(1)
Fancy Finance
66(1)
Halcyon Days
67(1)
An Icon
68(2)
Special Purpose Entities
70(1)
Securitizing the Balance Sheet
70(2)
Cactus and JEDI
72(3)
Beneath the Mask
75(1)
Enron Fails
75(1)
The Death Spiral
75(1)
Sherron Watkins
76(2)
Accounting Disclosures
78(1)
LJM
79(1)
New Power Company
80(2)
Implosion
82(1)
Chewco
83(1)
Whitewing
84(1)
Influence Fails
85(2)
Death Throes
87(1)
Bankruptcy
87(1)
The Powers Report
88(3)
Media Circus
91(2)
Congressional Hearings
93(2)
3 The Enron Scandal
95(48)
Enron Finance
95(1)
The SPEs
95(1)
Debt and Equity
96(2)
Nikita, Backbone, and Others
98(1)
Blockbuster
99(1)
Business Model and Disclosure
99(2)
Executive Bonuses and Stock Sales
101(1)
Employee Losses
102(2)
Lockdown
104(2)
Other 401(k) Problems
106(2)
Prosecution of Enron Executives
108(1)
Other Abuses
108(1)
Andrew Fastow
109(3)
Extorting a Guilty Plea
112(1)
Lea Fastow
112(2)
Other Defendants
114(1)
Kenneth Lay
115(3)
Jeffrey Skilling
118(1)
Bank Involvement
119(1)
Prepaid Forward Transactions
119(1)
The Prepays
120(2)
The Sureties
122(1)
Citigroup
123(2)
Liability of Financial Institutions
125(1)
Merrill Lynch
126(1)
Other Institutions
127(2)
California Trading Scandals
129(1)
California Deregulates
129(2)
Flawed System
131(2)
Enron Games the Market
133(3)
Crimes and Investigations
136(1)
Round-Trip Trades
137(6)
II Full Disclosure and the Accountants
4 Full Disclosure
143(54)
Full Disclosure Background
143(1)
Disclosure History
143(3)
The Panic of 1907
146(1)
Federal Actions
146(1)
Blue-Sky Laws
147(1)
The Stock Market Crash of 1929
148(1)
Franklin D. Roosevelt
149(2)
Laying the Groundwork for Full Disclosure
151(2)
The Securities Act of 1933
153(3)
The Securities Exchange Act of 1934
156(2)
The Accountants as Gatekeepers
158(1)
Disclosure Requirements
158(2)
FASB
160(1)
Certification
161(1)
Early Accounting History
161(2)
Accounting in Great Britain
163(2)
British Accountants Move to America
165(1)
Homegrown Accounting
166(2)
Licensing Accountants
168(1)
Accountants' Liability
169(1)
Accounting Shortcomings
170(3)
Accounting Problems Spread
173(1)
Flaws in Full Disclosure
174(1)
Accounting Reform Efforts
175(1)
The Metcalf Report
175(2)
The Cohen Committee
177(1)
The Treadway Commission
178(2)
Financial Scandals Embroil the Accountants
180(2)
S&L Crisis
182(3)
Other Audit Failures
185(1)
Liabilities Mount
186(3)
The Independence Controversy
189(3)
Other Consulting Issues
192(2)
Accountants as Policemen
194(1)
The LLPs
195(2)
5 Arthur Andersen and Other Scandals
197(49)
Arthur Andersen & Co.
197(1)
Background
197(1)
Early Years
197(2)
Andersen Audit Problems
199(5)
Andersen's Problems Mount
201(3)
Accenture
204(1)
Enron Erupts
205(1)
The Indictment of Arthur Andersen
206(1)
The Trial of Arthur Andersen
207(3)
Conviction
210(2)
Full Disclosure Fails
212(1)
SEC Role
212(1)
Accrual Versus Cash Accounting
213(3)
Secret Reserves
216(1)
Cookie Jar Reserves
217(1)
Channel Stuffing
218(2)
Statement of Cash Flows
220(1)
Pro Forma Results
221(1)
Rite Aid
221(1)
Computer Associates
222(1)
Xerox
223(1)
Critical Path and Others
224(5)
Still More Problems
229(2)
Round Trips
231(3)
Kmart
234(1)
The Tyco Scandal
235(1)
The Growing of Tyco
235(1)
Tyco Business
235(1)
Tyco's Problems Emerge
236(1)
Tyco's Problems Grow
237(1)
The Scandal Begins
238(1)
The Scandal Broadens
239(1)
Kozlowski's Indictment
240(1)
Restructuring
241(1)
The Trial
242(2)
Belnick's Trial
244(2)
6 Fiduciary Duties and Corporate Governance Principles
246(65)
Corporate Governance
246(1)
Joint Stock Companies
246(2)
Early Corporate Governance Concerns
248(1)
Charter Wars
249(2)
General Incorporation Laws
251(2)
Modern Corporate Law
253(1)
Delaware and the Model Business Act
254(2)
The Board of Directors
256(1)
Outside Directors
257(5)
More Board Reforms
262(2)
Corporate Officers
264(1)
Shareholder Responsibilities
265(1)
Shareholder Rights
266(1)
Shareholder Voting
267(3)
Proxy Votes
270(1)
Proxy Fights
271(2)
SEC Proxy Regulation
273(4)
Fiduciary Duties
277(1)
Trustees
277(1)
The Business Judgment Rule
278(2)
Fiduciary Duty of Care
280(1)
Delaware Duty of Care
281(4)
The Fiduciary Duty of Loyalty
285(3)
Executive Compensation
288(1)
Close Corporations
289(3)
New Business Structures
292(1)
More Fiduciary Duties
293(1)
Fiduciary Duties of Controlling Shareholders
293(1)
Derivative Suits
294(2)
Fiduciary Duties Redux
296(3)
Back to Delaware
299(2)
Delaware Excesses
301(1)
For Whom Does Management Manage?
302(3)
Social Responsibility
305(1)
The Contractarians
306(5)
III Full Disclosure Fails
7 Telecoms and WorldCom
311(66)
Telecommunications
311(1)
Meltdown 311 - Nortel
312(2)
Lucent
314(2)
Qwest
316(3)
Other Telecom Troubles
319(1)
Global Crossing
320(1)
Accounting Manipulations
321(2)
Bankruptcy
323(1)
Accounting Failures
324(1)
Reorganization
324(1)
Adelphia
325(2)
Internal Investigation
327(1)
Criminal Charges
328(2)
WorldCom
330(1)
The Company
330(2)
MCI
332(1)
WorldCom Accounting
333(1)
Bernard Ebbers
334(1)
Scott Sullivan
335(1)
Free Fall
335(3)
Internal Investigations
338(3)
Corporate Monitor
341(1)
Breeden's World
341(3)
Like Enron
344(4)
Litigation
348(1)
Criminal and Other Charges
348(3)
Ebbers's Indictment
351(3)
More Problems
354(1)
Accounting Problems in the Entertainment Industry and Elsewhere
354(1)
AOL Time Warner
354(1)
Goodwill
355(1)
Cooking the Books
356(1)
Accounting Problems Expand
357(1)
Vivendi
358(1)
Vivendi Problems
359(1)
HealthSouth
360(4)
Freddie Mac and Fannie Mae
364(4)
Lord Black
368(4)
Grocery Store Accounting
372(5)
8 Analysts and Insider Trading Scandals
377(66)
The Martha Stewart Case
377(1)
History of Insider Trading
377(1)
SEC Creates a Crime
378(2)
The Supreme Court Responds
380(1)
Tippers and Tippees
381(1)
Insider Trading Scandals
382(3)
Insider Trading Legislation
385(1)
More Insider Trading Issues
386(1)
Insider Trading Continues
387(2)
ImClone
389(2)
Martha Stewart
391(2)
Martha Stewart's Crime
393(1)
The Stewart Circus Begins
394(1)
The Government's Case
395(3)
Aftermath
398(2)
Analysts' Scandals
400(1)
The Role of the Analyst
400(1)
Supervising the Analyst
401(1)
Market Solution
402(1)
Regulation FD
403(2)
Stock Touts
405(1)
Conflicts Grow
406(1)
Citigroup
407(3)
IPO Abuses
410(2)
Frank Quattrone
412(4)
Analysts' Settlement
416(4)
Congressional Hearings
420(1)
Mutual Fund Scandals
421(1)
Some History
421(1)
Investment Company Act of 1940
422(1)
Mutual Funds
423(1)
Scandals and Abuses
423(1)
Mutual Fund Investment
424(1)
Market Timing
425(1)
Competition
426(1)
Spitzer's Charges
427(3)
The Problem Spreads
430(2)
More Disclosures
432(2)
Other Mutual Fund Issues
434(3)
Variable Annuities
437(1)
One More Media Event
438(1)
Hedge Funds
439(4)
9 More Scandals and Reform
443(78)
Sarbanes-Oxley
443(1)
Arthur Levitt
443(1)
A New Chairman Arrives
444(3)
Election Issues
447(2)
Sarbanes-Oxley Is Enacted
449(2)
PCAOB
451(4)
More Regulation
455(2)
Attack of the Law Professors
457(1)
Disciplinary Proceedings
458(1)
ABA Response
459(1)
S&L Problems
460(1)
Legislation
461(1)
Role of the Rating Agency
462(1)
Some History
463(1)
Expansion of the Rating Agency's Role
464(3)
Sarbanes-Oxley Is No Panacea
467(1)
More Costs
467(2)
Executive Compensation
469(1)
Options Again
470(2)
The List Grows
472(5)
More Audit Failures
477(2)
Travel and Taxes
479(3)
Executive Issues
482(2)
More Fraud
484(1)
Pump and Dump Schemes
484(3)
Ponzi Schemes
487(3)
Other Scandals
490(4)
Fraud Abroad
494(4)
Scandal at the New York Stock Exchange
498(1)
Richard Grasso
498(3)
NYSE Problems
501(5)
Spitzer Again
506(15)
IV Recovery and Reform
10 Market Recovery
521(75)
The Economy
521(1)
Demographic Changes and Finance
521(2)
Economic Conditions
523(2)
Raising Capital
525(2)
Infectious Greed
527(1)
Mixed Signals
528(1)
Japanese Operations
529(1)
Banking and Insurance
529(3)
Reparations for Slavery
532(1)
Stock Market Reaction
533(3)
The New Year--2003
536(1)
Taxes
536(2)
Trading Places
538(4)
More on the Market
542(1)
Retirement Concerns
543(1)
Social Security
544(2)
Housing Market and Millionaires
546(1)
Financial Services
547(2)
Financing Resumes
549(2)
Banking
551(1)
Credit Cards
551(1)
Banking Consolidation
552(4)
Banking Problems
556(1)
Money
557(1)
The Year 2004
558(1)
The Recovery Strengthens
558(2)
Market Activities
560(1)
Politics and the Economy
561(1)
Wealth
562(1)
Big Business
563(1)
Quarterly Results
564(1)
More Growth
565(8)
More Fraud
573(2)
Full Disclosure Continues to Fail
575(2)
Another Enron?
577(5)
Market Development
582(4)
Enron Continues
586(4)
More Problems
590(6)
11 Reforming the Reforms
596(65)
The Myths of Full Disclosure
596(1)
Reforms and Power
596(1)
Full Disclosure
597(1)
Myth Revealed
598(2)
Accountants as Bloodhounds
600(2)
Auditor Liability
602(1)
Accountants Work for Management
603(1)
The Perfect Storm
604(2)
Pre-Full Disclosure Finance
606(1)
Another Myth
606(3)
Still Another Myth
609(1)
Attacks on Business
610(2)
The SEC Fails
612(1)
Fraud Before the SEC
612(1)
The American Ice Company
613(3)
Other Pre-SEC Scandals
616(1)
On the SEC's Watch
617(4)
Accounting Scandals New and Old
621(2)
Prosecutions
623(6)
Attorney General Wolf Packs
629(4)
Private Securities Litigation
633(3)
PSLRA
636(2)
Pension Funds as Managers
638(6)
Calpers Governance
644(3)
Repealing the Federal Securities Laws
647(1)
The Securities Laws
647(4)
Manipulation
651(1)
Mulheren's Prosecution
652(1)
CFTC
653(1)
Market Discipline
654(1)
Disclosure in a Free Market
655(3)
Commodity Model
658(1)
Insider Trading
658(1)
Labeling versus Full Disclosure
659(2)
Conclusion 661(4)
Notes 665(12)
Selected Bibliography 677(16)
Name Index 693(40)
Subject Index 733(10)
About the Author 743
Jerry W. Markham is a professor of law at Florida International University in Miami, USA, where he teaches corporate and international business law.