Demise of Arthur Anderson

A Sad Tale: The Demise of Arthur Anderson

This is a summary of “A Sad Tale: The Demise of Arthur Anderson,” an accounting firm established in 1918 led by Arthur Andersen an acknowledged man of principle. In the early ’90s, the company became a subject of an investigation by the department of justice because of their unscrupulous financial practices. Arthur Anderson Accounting Firm, one of the five industry leaders, was based on high ethical principle and integrity which eventually was destroyed by unethical practices and behavior.

Team C’s task is to discuss the mistakes made by Arthur Anderson and to look at the potential actions leadership could have taken to avoid the failure of the organization.