E3 Journal of Business Management and Economics
E3 Journal of Business Management and Economics Vol. 4 (12) pp. 276-284, December 2013; © E3 Journals; ISSN 2141-7482
The impact of strengthening the judicial accountability of corporate governance in order to combat corruption in the companies listed in the financial marketsNajeb M.H. Masoud1 *
1 Department of Banking and Finance, College of Economics and Business, Al-zaytoonah University of Jordan, P.O. Box 130, Amman 11733, Jordan
*Corresponding Author E-mail: firstname.lastname@example.org
Accepted 10 August 2013
The aim of this study is to discuss and analyse the reasons for the collapse of one of the huge energy companies (Enron), which resulted in the collapse of the auditing firm Arthur Andersen, therefore proving their involvement in manipulations of financials, and then see recent changes to corporate governance because of those collapses, and the views of the surrounding environment in the United States, and the possibility of the application of those changes on ground. The study concludes that the collapse of Enron and Arthur Andersen is due to specialised ethics, Arthur Andersen did double job to Enron, which was a clear violation of the rules, the financial market authorities were responsible for those collapses due to a lack of control, most of the companies and auditors face difficulties in applying new rules of corporate governance, and the main problem arise in ethics not in the rules controlling corporate governance.
Keywords: Judicial accountability, Corporate governance, Corruption, Financial markets[Download Article - PDF]