THE ENRON SAGA.

Case presented
by :
Monika
Talvinder Singh
Vikrant
Rajani
Gauri
Deepak.
 Summary of the
Case.
Background and history.
How Collapse Happened.
Chronology.
Out come of the Enron Collapse.
Some more facts.
 Reasons for the sudden
collapse of Enron.
Self seeking.
Unethical decisions.
Messy transactions.
Lack of proper check or higher
mgmt.
No responsibility of External
Auditors.
 Was Enron having proper
Corporate Governance, if
not What went wrong.
Lack of proper Corporate Governance.
Unethical Accountancy practices.
Criminality among Certain senior
Managers.
Lacks of Proper Monitoring of
companies Top Management.
 What can be learned from
Enron Case?
 Some Control is necessary over Creative accounting.

 BOD must Have Independent director.

 Proper inspection of financial statements and relation

of company and accounting firms engaged.

 Companies worth Big value must have.

a) Nomination committee.

b) Remuneration Committee.

c) Audit Committee.
Risk involved in related party
Transaction.
Conclusion of CEO , CFO,
Banks And Auditors.
Would 50 % Independent Directors had
led to Strong Audit Committee And
different fate for Enron.

Strictly yes.
Role of Independent Directors.
Responsibility of Audit Committee.
Conclusion.
Queries ???????

THANK
YOU.