The WorldCom Accounting Scandal|Finance|Case Study|Case Studies

The WorldCom Accounting Scandal

Case Studies | Case Study in Business, Management, Operations, Strategy, Case Study

ICMR HOME | Case Studies Collection

To download The WorldCom Accounting Scandal case study (Case Code: FINC022) click on the button below, and select the case from the list of available cases:

Finance | Case Study in Management, Operations, Strategies, Business Ethics, Case Studies

Finance Case Studies
Short Case Studies
View Detailed Pricing Info
How To Order This Case
Business Case Studies
Case Studies by Area
Case Studies by Industry
Case Studies by Company

Custom Search

Please note:

This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

Chat with us

Strategic Management Formulation, Implementation, & Control, 12e

Please leave your feedback

Leave Your Feedback

ICMR India ICMR India ICMR India ICMR India RSS Feed

Case Details:


Case Code : FINC022 For delivery in electronic format: Rs. 400;
For delivery through courier (within India): Rs. 400 + Shipping & Handling Charges extra


Corporate scams / Controversies
Case Length : 19 Pages
Period : 1990 - 2002
Pub. Date : 2002
Teaching Note : Not Available
Organization : WorldCom, Arthur Anderson
Industry : Telecom, Financial Services
Countries : USA


The case discusses the accounting frauds committed by the leading US telecommunications giant, WorldCom during the 1990s that led to its eventual bankruptcy. The case provides a detailed description of the growth of WorldCom over the years through its policy of mergers and acquisitions. The case explains the nature of the US telecommunications market, highlighting the circumstances that put immense pressure on companies to project a healthy financial position at all times. The case provides an insight into the ways by which WorldCom manipulated its financial statements. The case also describes the events that led the company to file for reorganization under Chapter 11 of the U.S. Bankruptcy Court in 2002.

Finance | Case Study in Management, Operations, Strategies, Finance, Case Studies

The role of the company's top management in the scandal has also been discussed. Finally, the case explores the initiatives being taken by the company to change its management structure, improve its performance and restore investor confidence.


Adverse business conditions often cause companies resort to unethical practices


  Page No.
Worldcom 2002: Yet Another Corporate Scam 1
Worldcom: The Company 2
Worldcom: Genesis of the Frauds 4
Worldcom: The Ebbers Angle 6
Worldcom: The Final Countdown 7
Worldcom: Lessons From the Saga 8
Worldcom: The Aftermath 9
Exhibits 11


Accounting frauds, US telecommunications, giant, WorldCom, 1990, bankruptcy, growth, WorldCom, mergers, acquisitions, US telecommunications, healthy financial position, manipulated, financial statements, reorganization, Chapter 11, U.S. Bankruptcy Court, 2002,top management, scandal, management structure

The WorldCom Accounting Scandal - Next Page>>

Custom Search

Marketing Financial Products
Textbooks Collection

Case Studies in Finance Vol III

Case Studies in Finance Vol III
e-Book on Case Studies in Finance

Case Study Volumes Collection


Case Studies Links:- Case Studies, Short Case Studies, Simplified Case Studies.

Other Case Studies:- Multimedia Case Studies, Cases in Other Languages.

Business Reports Link:- Business Reports.

Books:- Textbooks, Work Books, Case Study Volumes.