Procomp Informatic : stepping on ethical landmines in Asia / Amy H. Lau, Claudia Huey-Ling Woo.
In 2004, the collapse of Procomp Informatics Ltd., a major Taiwanese chip maker in the high-tech world, was regarded by Taiwan's market watchdogs as similar to the scandal of the giant US energy company Enron in 2001. Procomp defaulted on a bond payment and filed for bankruptcy despite a huge c...
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| Main Authors: | , |
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| Format: | Ebook |
| Language: | English |
| Published: |
London :
Institute of Management Accountants,
2008.
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| Series: | SAGE Knowledge. Cases.
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| Subjects: | |
| Online Access: | SAGE |
| Summary: | In 2004, the collapse of Procomp Informatics Ltd., a major Taiwanese chip maker in the high-tech world, was regarded by Taiwan's market watchdogs as similar to the scandal of the giant US energy company Enron in 2001. Procomp defaulted on a bond payment and filed for bankruptcy despite a huge cash balance recorded in its books. It was discovered that the company's chairwoman together with its executives and overseas sales agents had colluded in overstating sales revenue, manipulating stock prices, illegally leveraging assets and arranging bonds through fictitious companies. This incident left thousands of company shareholders with massive financial losses. The case has raised further concerns about corporate governance and risk management of public companies in Taiwan. It has spotlighted the need for credibility of the financial reporting process, companies' internal controls and corporate ethics in the Asian context. |
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| Item Description: | Originally published in Lau, A. H., & Huey-Ling Woo, C. (2008). Procomp Informatic: Stepping on ethical landmines in Asia. IMA Education Case Journal, 1(2), Article 3. |
| Physical Description: | 1 online resource : illustrations. |
| Bibliography: | Includes bibliographical references and index. |
| ISBN: | 1526428652 9781526428653 |