Corporate Abuse

Business, Legal & Accounting Glossary

Definition: Corporate Abuse




Full Definition of Corporate Abuse


A corporate scandal is a scandal involving allegations of unethical behaviour by people acting within or on behalf of a corporation. A corporate scandal sometimes involves accounting fraud of some sort. A wave of such scandals swept United States companies in 2002 (accounting scandals of 2002).

List Of Corporate Scandals

  • 2006 HP Spying Scandal
  • Adelphia scandal
  • BAE Systems bribery scandal in Saudi Arabia (Al Yamamah contract)
  • Bre-X scandal
  • Clearstream, which has been qualified as “the greatest financial scandal in Luxembourg” (Clearstream is a clearinghouse, i.e. sort of a “bank of banks”, used to centralize credit & debit between banks and other financial organizations).
  • Compass Group, bribed the United Nations in order to win business.
  • Enron accounting fraud, involving Arthur Andersen
  • Exxon overreporting of oil reserves
  • Fannie Mae underreporting of profit
  • Firestone Tire and Rubber Company for the use of child labour
  • Ford Pinto scandal
  • Guinness affair
  • Hafskip’s collapse
  • Halliburton overcharging government contracts
  • Harken Energy Scandal
  • Lernout & Hauspie accounting fraud
  • Lockheed bribery scandal in Germany, Japan, and the Netherlands
  • MG Rover Group accounts and pensions scandal
  • Morrison-Knudsen scandal Led to William Agee’s ouster
  • Nortel executives overstate post-dot-com recovery earnings in order to earn bonuses
  • One.Tel collapse
  • Options backdating involving over 100 companies
  • Parmalat accounting scandal & mutual fund fraud
  • Phar-Mor company lied to shareholders. CEO eventually sentenced to prison for fraud and the company eventually became bankrupt.
  • RadioShack CEO David Edmondson lied about attaining a B.A. degree from Pacific Coast Baptist College in California
  • Refco, Inc. commodities & futures scandal involving hidden debts involving underwriting firms Credit Suisse First Boston, Goldman Sachs, Bank of America Corp.
  • Rite Aid accounting fraud
  • Royal Dutch Shell overstated its oil reserves twice, it downgraded 3.9 billion barrels or about 20 per cent of its total holdings.
  • Salad oil scandal, where millions in loans were obtained on largely nonexistent inventories of salad oil
  • Tyco International
  • Worldcom
  • Xerox alleged accounting irregularities involving auditor KPMG, causing restatement of financial results for the years 1997 through 2000 and fines for both companies.
  • David Wittig scandal

Cite Term


To help you cite our definitions in your bibliography, here is the proper citation layout for the three major formatting styles, with all of the relevant information filled in.

Page URL
https://payrollheaven.com/define/corporate-abuse/
Modern Language Association (MLA):
Corporate Abuse. PayrollHeaven.com. Payroll & Accounting Heaven Ltd. September 28, 2021 https://payrollheaven.com/define/corporate-abuse/.
Chicago Manual of Style (CMS):
Corporate Abuse. PayrollHeaven.com. Payroll & Accounting Heaven Ltd. https://payrollheaven.com/define/corporate-abuse/ (accessed: September 28, 2021).
American Psychological Association (APA):
Corporate Abuse. PayrollHeaven.com. Retrieved September 28, 2021, from PayrollHeaven.com website: https://payrollheaven.com/define/corporate-abuse/

Definition Sources


Definitions for Corporate Abuse are sourced/syndicated and enhanced from:

  • A Dictionary of Economics (Oxford Quick Reference)
  • Oxford Dictionary Of Accounting
  • Oxford Dictionary Of Business & Management

This glossary post was last updated: 19th April, 2020 | 236 Views.