logging in or signing up Livent - When Maria When aSGuest32261 Download Post to : URL : Related Presentations : Share Add to Flag Embed Email Send to Blogs and Networks Add to Channel Uploaded from authorPOINT lite Insert YouTube videos in PowerPont slides with aS Desktop Copy embed code: (To copy code, click on the text box) Embed: URL: Thumbnail: WordPress Embed Customize Embed The presentation is successfully added In Your Favorites. Views: 275 Category: Entertainment License: All Rights Reserved Like it (0) Dislike it (0) Added: November 26, 2009 This Presentation is Public Favorites: 0 Presentation Description No description available. Comments Posting comment... Premium member Presentation Transcript Livent – When Maria..When? : Livent – When Maria..When? Presented By Shefali Aggarwal Case – 2 Company Background : Company Background Live Entertainment Corporation of Canada, Inc., was a theatre production company in Toronto, Ontario. Was world’s premier live entertainment company. In November, 1998, Livent sought bankruptcy protection, claiming a debt of $334 million Company Background : Company Background In January 1999, former chairman, Drabinsky, and president, Gottlieb were indicted in a New York court on charges they personally misappropriated $4.6 million in company funds and to hide massive losses from investors. Drabinsky and Gottlieb failed to appear for trial, and, more than ten years later, are still under fugitive arrest warrants. Key People : Key People Garth Drabinsky - Chairman Myron Gottlieb - President Gordon - Senior vice president of finance Key People : Key People Maria Messina - Chief financial officer Roy Furman - New chief executive officer Robert Webster - New executive vice president The Story…. : The Story…. Maria Messina - aware of manipulations in July 1997 - disclosed until July 1998 Ethical Issues : Ethical Issues Maria Messina delayed to disclose the fraud What Happen…?? : What Happen…?? Maria was in dilemma - what she should do? - when she should blow the whistle? Implications : Implications Maria was charged guilty - five years in jail - fine for $ 250,000 - lost her Chartered Accountant title Drabinsky was sentenced for 7 years Gottlieb was sentenced for 6 years Implications : Implications Livent went bankrupt Shareholders lost all their money Unethical : Unethical Is this unethical? - Yes - Professional accountant has a professional duty to uphold, which supersede loyalty to the employer - Maria delayed because of fear to loose job and acted in her own self-interest What she should have done?? : What she should have done?? Maria should have followed a more protected, internal route for reporting She should have consulted with accounting society on a confidential basis to assist her in this decision Thanks!!! : Thanks!!! You do not have the permission to view this presentation. In order to view it, please contact the author of the presentation.
Livent - When Maria When aSGuest32261 Download Post to : URL : Related Presentations : Share Add to Flag Embed Email Send to Blogs and Networks Add to Channel Uploaded from authorPOINT lite Insert YouTube videos in PowerPont slides with aS Desktop Copy embed code: (To copy code, click on the text box) Embed: URL: Thumbnail: WordPress Embed Customize Embed The presentation is successfully added In Your Favorites. Views: 275 Category: Entertainment License: All Rights Reserved Like it (0) Dislike it (0) Added: November 26, 2009 This Presentation is Public Favorites: 0 Presentation Description No description available. Comments Posting comment... Premium member Presentation Transcript Livent – When Maria..When? : Livent – When Maria..When? Presented By Shefali Aggarwal Case – 2 Company Background : Company Background Live Entertainment Corporation of Canada, Inc., was a theatre production company in Toronto, Ontario. Was world’s premier live entertainment company. In November, 1998, Livent sought bankruptcy protection, claiming a debt of $334 million Company Background : Company Background In January 1999, former chairman, Drabinsky, and president, Gottlieb were indicted in a New York court on charges they personally misappropriated $4.6 million in company funds and to hide massive losses from investors. Drabinsky and Gottlieb failed to appear for trial, and, more than ten years later, are still under fugitive arrest warrants. Key People : Key People Garth Drabinsky - Chairman Myron Gottlieb - President Gordon - Senior vice president of finance Key People : Key People Maria Messina - Chief financial officer Roy Furman - New chief executive officer Robert Webster - New executive vice president The Story…. : The Story…. Maria Messina - aware of manipulations in July 1997 - disclosed until July 1998 Ethical Issues : Ethical Issues Maria Messina delayed to disclose the fraud What Happen…?? : What Happen…?? Maria was in dilemma - what she should do? - when she should blow the whistle? Implications : Implications Maria was charged guilty - five years in jail - fine for $ 250,000 - lost her Chartered Accountant title Drabinsky was sentenced for 7 years Gottlieb was sentenced for 6 years Implications : Implications Livent went bankrupt Shareholders lost all their money Unethical : Unethical Is this unethical? - Yes - Professional accountant has a professional duty to uphold, which supersede loyalty to the employer - Maria delayed because of fear to loose job and acted in her own self-interest What she should have done?? : What she should have done?? Maria should have followed a more protected, internal route for reporting She should have consulted with accounting society on a confidential basis to assist her in this decision Thanks!!! : Thanks!!!