Question

What is corporate misconduct and what are some examples from businesses or individuals? Also can give stats on corporate misconduct.

Answer 1

What is corporate misconduct and what are some examples from businesses or individuals? Also can give stats on corporate misconduct.

• The term corporate misconduct refers to frauds committed by corporate entities to tarnish shareholder value.
• The corporate misconduct stretches beyond malpractice in accounting, reporting, operations and misconduct.
• It is an unethical malpractices followed by businesses or individuals
• corporate misconduct is against the corporate law defined by the government
• corporate misconduct occurs due to excessive management power,  Bureaucratic Corporate Structure, Lack of public understanding etc.
• Examples - Company conducting unethical audits in order to hide the actual valuation of its businesses
• Examples - Individuals accepting bribes at work to favour high paying clients

Stats on corporate misconduct

• bank frauds in nationalized banks are of Rs. 497.60 Crores
• new employee survey has found that workplace misconduct at Fortune 500 companies is higher than the U.S. average.
• 52 percent of Fortune 500 companies said they observed misconduct in their workplace during the last 12 months but 74 percent of those employees reported the misconduct when they saw it.