Jaclyn Givens. Kathy Osburn. Management 101. 5/8/17. The

Jaclyn Givens Kathy Osburn Management 101 5/8/17 The Enron Era â€Å"Just as character matters in people, it matters in organizations,† says Justin Schultz, a corporate psychologist in Denver. The Enron scandal had a big exposure in 2001 confirming the big secret to the increase in billions. In July 1985, Enron formed the merger of Houston Natural Gas and Omaha-based Inter North. The Enron corporation was an American energy company based in Houston Texas. The corporation’s catastrophe in 2001 signifies the biggest business liquidation ever, while also highlighting corporate America’s moral shortcomings. Along with Arthur Andersen, Enron was one of the largest audit and accounting partnerships in the world. Enron experienced the greatest audit†¦show more content†¦Enron documents for Chapter 11 protection, becoming the largest liquidation in US history leaving thousands of workers with worthless stock. Leading the industry for top electricity natural gas and communications. Stock for anyone share dropped from $90 per share to one dollar per-share causing shareholders to lose nearly 11 billion. And another financial statement revision was created for the previous five years and found 586 million and losses. Leading to the big group see that collapsed in 2001. Not one person is to blame for the Enron scandal there were multiple people involved in the destruction of Enron. Chairman Kenneth Lay messaged employees through email announcing the company had â€Å"never been Stronger†. Just a week after, he promised a significantly higher stock price†. (Bill, Press). What makes the scandal so inexcusable? Is that Mr. Lay was tricking his employees to purchase share in the company and hold on to them? While Lay did differently. Unethical companies will eventually get exposed: Most of the top executives were tried for fraud after it was revealed in November 2001 that Enron s earnings had been overstated by several hundred million dollars. Overall, 16 previous Enron executives including Skilling had been sentenced to prison. Its previous chairman, Ken Lay, was also convicted but because he passed away before his guilty verdict could be appealed, that case was thrown out. Sherron