The Enron scandal, revealed in October 2001, eventually led to the bankruptcy of the Enron Corporation, anAmerican energy company based in Houston, Texas, and the dissolution of Arthur Andersen, which was one ofthe five largest audit and accountancy partnerships in the world. In addition to being the largest bankruptcyreorganization in American history at that time, Enron undoubtedly is the biggest audit failure. It is ever the mostfamous company in the world, but it also is one of companies which fell down too fast. In this paper, it analysisthe reason for this event in detail including the management, conflict of interest and accounting fraud.Meanwhile, it makes analysis the moral responsibility From Individuals’ Angle and Corporation’s Angle.
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Yuhao Li (2010) studied this question.