Beginning in 2002 the industrial conglomerate Tyco International became the center of a corporate fraud scandal after investigators found that chief executive Dennis Kozlowski and chief financial officer Mark Swartz had taken hundreds of millions of dollars from the company through unauthorized bonuses, loans and personal expenses. Both executives were later convicted on related criminal charges, and the scandal became a widely cited example of executive self dealing in the early 2000s wave of corporate accounting scandals.
Facts
Event TypeCorporate fraud scandal 1 Connections
Associated With
The Tyco International 2002 scandal, in which executives were convicted of falsifying financial records to conceal unauthorized bonuses and loans, is an accounting-practice case study in financial-statement fraud.
Source Wikipedia, Tyco International
Companies Involved
Source Wikipedia, Tyco International
Sources
1. Wikipedia, Tyco International
WikipediaCorporate history section
midway through the fiscal 2002 year, Tyco became embroiled in a massive scandal involving the excesses by its former chairman and CEO, L. Dennis Kozlowski, and his senior management team.
- Associated With: Accounting
- Companies Involved: Tyco International
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