Index

A

AAA ratings, 126

Abbas, M.Z., 91

acceptable accounting, 7

accounting abuses, and fraud, 7, 17, 142. See also subprime meltdown (2008)

CDS, 137

derivatives manipulation, OTC, 136–137

fair value accounting, manipulations, 137–138

Fannie and Freddie, accounting irregularities at, 138–139

in financial companies, 138

reduce information asymmetries, for preventing, 140

repo 105, 139

special purpose entities manipulations, 137

Accounting and Internal Revenue Service (IRS) standards, 137

accounting deception, 6–8

Accounting Principles Board (APB, 1959), 3, 148

Accounting Research Bulletins (ARBs), 65

accounting, role and issues, 1–3, 143–144

accounting scandals, ix. See also scandals

19th century, 13–15

20th century, 15–16

21th century, 16–17

Accounting Series Releases (ASRs), 63

accounting standards, 3

Accounting Standards Codification, 4

accounting write-offs, 110–111

acquisition accounting, 143

acquisition accounting techniques, xii

Adams, J., 31

Adams, Jr., C.F., 41

Adelphia fraud (2002), 16, 108–109, 112, 151

advertising ban elimination (1979), 149

aggressive accounting, 8

aggressive banking, 31

Agricultural Adjustment Act, 60

Allegheny International, 88

American constitution of 1788, x

American Constitution (1787, written in), 145

American Institute of Accountants (AIA), 53, 65, 67–68

American Institute of Certified Public Accountants (AICPA), 4, 53, 67

The American Institute of Certified Public Accounting (AICPA), 116

American Insurance Group (AIG), failure and bailout, 17, 130, 138, 152, 153

American model of manufacturing, 71

American Revolution (1775-1783), 29

American Telephone and Telegraph (AT&T), 107

Ames, O., 41

analyst forecasts, 99

Andersen, A., 10, 82, 86–87, 89, 101, 107, 109–110, 139

Andersen Consulting, 109–110

Andreas, P., 156, n1

Angelides, P., 133

Angelis, T.D., 85, 149

AOL-Time Warner, 111

Articles of Confederation, 29

asset-backed securities (ABSs), 125

audit failure, 6

audit firms, 109

auditing, role, 5–6, 143

auditors, role in accounting, 143–144

audit regulations, 6

audit requirements, 114–115

audit risk environment, 94–96

audits, poor quality, 143

B

backdating, 119, 152

bad behavior

economics of, 17–22

extreme cases of, 22–23

signals of, 12–13

Bailout, 132

balance sheet, 4

Baltimore and Ohio Railroad (B&O), 36

banking

and financial markets, 30–32

and issues, 142

predatory practices, 17

speculative, 145

banknotes, 32

Bank of America, 31

Bank of Credit and Commerce International (BCCI), 16, 91–92, 150

Bank of Massachusetts, 31

Bank of New York, 31

Bank of North America, 30

Bank of the United States, 31

bankruptcy, 6

Baptist Foundation of Arizona, 86

Barings Bank, 45, 90

Barnard, G., 38

Barofsky, N., 131–132

Basel Committee on Banking Supervision, 159, n10

BDO Seidman, 117, 143

Bear’s hedge funds, 126

Bear Stearns failure (2008), 126, 152

Bernanke, B., 128, 130, 132

Bernard Madoff’s Ponzi scheme fraud, 118

Black, F., 89

Black-Scholes model, 89

Black Tuesday, 51

Blaine, J., 41

Blount, W., ix

Blue Sky laws, 62

Boesky, I., 15, 81

Boston Tea Party of 1773, 28–29

Bretton Woods Agreement, 92

bribery, 7, 91, 142, 145

Bristol-Myers-Squibb, 110

British Aluminum, 77

British Petroleum (BP), 22

Brown, D., 2

The Bureau of Consumer Financial Protection, 135

Buren, M. V., 34, 45

Burnham, D., 149

Burns, A., 92

Burr, A., ix, 14, 26, 31

business acquisitions, 4

business history, ix

banking and financial markets, 30–32

boom and bust cycles, 31

canal construction, 34–37

capital-intensive projects, 34–37, 43

early history, 28–30

factory system, development of, 29–30

industrialization and monopoly power, 42–44

market manipulation and market crash, 49–51

merger accounting and manipulation, 74–76

panics and crashes, 44–46

politics and political machines, role of, 32–34

Ponzi scheme, 48–49

problems with growth, x

railroads, 34–37

Teapot Dome scandal, 47–48

in war and peace, 72–74

Business Roundtable, 19

business tycoons, 18–19

C

Cactus (created in 1991), 104

The California Public Employees’ Retirement System (CalPERS), 104

capitalism, 6

Carnegie, A., x, 2, 18, 25, 43, 146

Carnegie Steel, 43–44

cash bonuses, 99

cash dividend, 3

cash flow statement, 4

Cayne, J., 155, n10

Cendant, 87–88

Cendant fraud (1998), 150

certified public accountants (CPAs), 4, 6, 53

licencsing (from 1896), 147

Chandler, A., 30, 156, n2

cheaters, finding, 11–13

Chewco, 104

Christensen, B., 143

Chrysler, W., 58

Cisco Systems, 110

Citibank, 94

Citigroup collapse, 127, 137, 144, 160, n3

Citron, R., 90

Civilian Conservation Corps., 61

Civil War legislation (1861-1865), 145

Clayton Act, 147

clearing banks, 32

cleverly rigged accounting ploys (CRAP), 15, 74–75

Clinton, D.W., 35

Code of Hammurabi, ix

Colfax, S., 41

collateralized debt obligations (CDOs), 127

commercial banks, 31

Commercial Paper Funding Facility (2008), 131

Committee of Sponsoring Organizations (COSO), 95

Committee on Accounting Procedures (CAP, 1938), 65, 148

Committee on Auditing Procedure (CAuP), 68

Commodities Futures Modernization Act (of 2000), 93–94

Commodity Futures Trading Commission (CFTC), 93, 137

The Community Reinvestment Act (of 1977), 124

conglomerates, 75–76

Congressional Pecora Hearings, xi

Conkling, R., 34

conservative accounting, 8

Conspiracy of Fools, 158, n2

consulting fees, ix

consumer bank loans, repackaging, 104

Continental vending case (1969), 149

Continental Vending Machine Corp., 85

Corbin, A., 39

Cornfeld, B., 148

corporate conspiracy, 146

corporate fraud scandal, 16–17

corporate governance reforms, 112–113

corporate social responsibility movement, 22

corruption, xii, 7, 16, 19, 41

-free cultures, most, 155, n4

and incentives, 141

types, 142

cost and managerial accounting, 2

counterfeiting, 145

Craigslist, 21

credit default swaps (CDS), 127, 159, n4

Credit Mobilier fraud (1862-1872), 14, 40–42, 146

Crocker, C., 41

Croker, R., 33

Cuomo, A., 139

Cutten, A., 58

D

Dark Pools, 159, n12

Daugherty, H., 47–48

“Deal-a-Day Dennis,” 107

debt securities, 125

Deepwater Horizon oil spill, 2010, 22

Deheny, E., 47

Deloitte & Touche, 117, 139

derivative-related financial scandals, 15–16

derivatives abuse, 101–102, 119–120

Detecting Earnings Management, 12

Dewey, T., 59

dirty pooling, 15

Dix, J., 41

Dodd, C., 133, 136

Dodd-Frank Act (2010), 113, 153

Dodd-Frank bill of 2010, 24

Dodge, G., 41

Drew, D., x, 14, 38–37, 146

Drexel Burnham, 77

Drexel, Burnham and Lambert, 80

Drexel policy, 81

Duer, W., 13, 145

Duncan, D., 10

Dunlap, A., 150

Du Pont model, of accounting system, 2

Durant, T., 40–41

E

Earnings Magic and the Unbalance Sheet, 115

earnings management, 8–9

earnings manipulation. See fraud(s); scandals

earnings per share (EPS) forecast, 99

earnings restatements, 110–111

eBay, 21

Ebbers, B., 107, 151

economic-related regulations, 24–25

state laws, 27

Edison, T., 25, 57

Eichenwald, K., 158, n2

Electric Storage Battery (ESB), 78

Elkind, P., 104, 158, n2

EMS Government Securities (1986), 16, 82–83, 150

Enron scandal (2001), xii, 6, 8, 10, 16–17, 99, 101, 120–121, 136, 143, 144, 151

Andersen’s role, 101, 103, 109–110

collapse, and bankruptcy, 105–106, 111

created in 1985, 100

Fastow’s role, 106

Chewco deal, 104

finance arrangement , Cactus, 104

LJM, and LJM2 manipulations, 105

partnership with CalPERS, 104

Raptor I-IV, 105

gas trading, 101

keypoints, 99–100

Kinder’s resignation, 103

Lay’s role, 100–101, 103

manipulating derivatives, predatory strategy, 102, 119, 136, 143

motives, 104

over-the-counter (OTC) options, 102

provided derivatives, 101–102

SEC approval, 102–103

Skilling’s input

asset-light strategy, 101

use of fair value accounting, 102–103

SPEs as financial weapon, 104–105, 119, 136–137, 143

Entergy, 12

EPS ratio (PE ratio), 99

Equity Funding Corporation of America, 85–86

Equity Funding, insurance company (1972), 16, 82, 149

equity method, 158, n6

Erie Canal, 36

Erie, raiding of (1868), 37–39, 146

Erie Railroad, 36

Erie stock, manipulation of, 37–39

Ernst & Young, 117, 139

executive compensation, 143

executive motivations, and finance, 98–99

explicit corruption, 7

F

factory system, 29

Fair Housing Act (1968), 124

fair value accounting, 102–103, 128, 137, 138

Fall, A., 147

Federal Deposit Insurance Corporation, 60

Federal Emergency Relief Administration, 61

The Federal Home Loan Bank Board (1932), 124

The Federal Home Loan Mortgage Corporation (Freddie Mac), 17, 123, 124, 129, 138, 139, 159, n2

Federal Housing Act (FHA), 61

The Federal Housing Administration (FHA, 1934), 124

The Federal National Mortgage Association (Fannie Mae, 2004), 17, 61, 120, 123, 129, 138, 152, 159, n2

federal reform legislation (1913-1914), 147

Federal Trade Commission (FTC), 62

Financial Accounting Standards Board (FASB), 3–4

The Financial Accounting Standards Board (FASB, 1973), 102, 116, 149

The Financial Crisis Inquiry Commission (2009 july), 133

financial disclosure, 3–5

financial failures. See also scandals

The Fed, criticism faced by, 131–132

steps preventing, 130–131

and TARP legislation, 132

troublemakers for, 144

financial fraud, 89–92

financial manipulations, 17

financial reform bill (Dodd-Frank), 17

financial statements, format, 1, 4

Fink, A., 37

Fisher, F., 58

Fisk, J., 38–39, 146

Forbes, W., 87

Ford Pinto Memo, 22

Foreign Corrupt Practices Act (FCPA, 1977), 94, 115, 149

Frank, B., 133

Frank, T., 8

fraud(s), xii

characteristics, 155, n2

defined, 6

financial, 89–92

finding cheaters, 11–13

and mortgage abuse, 124–125

schemes common, 155, n2

types, 142

Friedman, M., 19, 54

Fuld, R., 155, n10

G

Garfield, J., 41

Garn-St. Germain Act (in 1982), 81, 149

Geitner, T., 130

Geneen, H., 76

The General Accounting Office (GAO), 111

General Electric (GE), 99

generally accepted accounting principles (GAAP), xii, 4, 102, 138

generally accepted auditing standards (GAAS), 143

General Motors (GM), accounting system at, 2–3, 27, 71

Gilded Age, xi

Gladwell, M., 156, n10

Glass-Steagall Act (of 1933), 60, 94

Global Crossing, 16

gold cornering scam (1869), 39–40, 146

Goldman Sachs Trading Corporation (GSTC), 58–59

Goldsmith, J., 79, 81

Goodrich, B. F., 78

Gordon, J.S., 7

Gould, J., x, 14, 27, 38–39, 146

government corruption, 19

The Government National Mortgage Corporation (Ginnie Mae), 124

government-sponsored enterprises (or GSEs), 123–125

Gramm-Leach-Bliley Act (Financial Services Modernization Act of 1999), 94

The Grand Sachems, 14

Great Chicago Fire of 1871, 34

Great Depression era, xi, 53–54

Great Recession, 132

Great Salad oil scandal (1963), 149

Greenspan, A., 10, 20, 90, 93, 97, 155, n10

H

Hague, F., 34

Hamilton, A., 29, 31, 145

Hamon, J., 47

Hancock, J., 156, n1

Harding, W.G., 147

Harrison, G., 54

HealthSouth fraud (2003), 118, 152

The Home Owners’ Loan Corporation (1933), 124

Homestead Strike of 1892, 19

Hoover, H., 54

Hospitality Franchise Systems (HFS), 87

hostile takeovers, 77–79

housing, and mortgages, 123–124

housing bubble bust, 127

I

Iksil, B., 154

illicit behavior, 10

Imclone Systems case, 111, 151

incentives

to cheat, ix

commissions, 9–10

income statement, 4

incorporation laws, xi

Insull, S., 7, 55, 58, 148

Insull Utility bankruptcy (1931), 148

Insull Utility Investments, 57–58

interest payments, 3

internal controls, auditing part, 114–115

internal revenue scandal (IRS, 2013), 154

Internal Revenue Service (IRS), 50, 56

International Match Company (IMCO), 56

International Telephone and Telegraph (ITT), 76

Interstate Commerce Commission, xi, 64

Interstate Commerce Commission Act (1887), 146

investment banking, 71

investment banks, problems and solutions, 129

Investment Trust, 58–59

Investor Overseas Services fraud (APB, 1959), 148

Investors Overseas Services (IOS), 82–84

J

Jackson, A., 14

Jamestown Colony, 28

Japanese manufacturing system, 3

JDSU (JDS Fitel and Uniphase merger), 110

Jefferson, T., 31

Johnston, D., 12

Joint Energy Development Investments (JEDI), 104

joint stock company, 1

junk bonds, 15, 80–81

K

Kaufmann, D., 7

Kaufmann index, of legal corruption, 7

Keating, C., 82

Kennedy, J.F., 63

Kinder Morgan case, 158, n4

Kinder, R., 103, 158, n4

Knickerbocker Trust Company, 46

Kohlberg, Kravis, and Roberts (KKR), 79, 81

Kozlowski, D., 107, 151

10-K report, 3–4

Kreuger and Toll (KT), 55

collapse, 148

financial failings of, 56–57

Kreuger Crash, 57

Krueger, I., 148

10-Ks, 114, 116

L

laissez faire state, 25

late trading, 120

Lay, K., 100

Leeson, N., 90

legal corruption, 7

Lehman Brothers failure (2008), 17, 129–130, 139, 153

Leonard, J. W., 12

leveraged buyouts (LBOs), 77, 79–80

libertarianism, 19–20

LJM (Lea, Jeffrey and Michael), in 1999, 105

London interbank interest rate, 90

The London Interbank Offered Rate (LIBOR, 2012) scandal, 90, 154

London whale case (2012), 154

Long Distance Discount Services (1983), 107

Long-term Capital Management (LTCM, 1998) collapse, 137, 151

long-term contracts, 158, n3

loyalty, duty of, 20–22

Lybrand, 85

M

machine power, 34

Madoff, B., 49, 118, 153

managerial accounting, xii

manipulation, 7

market collapse, 97

Market Crash of 1987, 93

market timing, 120

mark-to-market. See fair value accounting

Martha, S., 111

Martin, W.M., 92

Marx, G., 54

Massachusetts Bay Colony, 28

McDonald, M., 34

McKesson & Robbins (MR, 1937), 6, 53, 148

McLean, B., 104, 126, 158, n2

McLean Industries, 79

Mellon, A., 54

merger accounting and manipulation, 74–76

merger movement, 146

Microsoft, 99

Microwave Communications, Inc. (MCI), 107

Milken, M., 15, 77, 79, 149

junk bonds, 80–81

mini-real estate bubble, 16

Minkow, B., 150

Minsky, H., 44

Minsky Moment, 44

Mississippi Bubble, 13

Mitchell, C., 56

Money Trust, 15, 43

Moody, J., 80

Moody’s, Standard & Poor’s, rating agency, 126

Mooney, W., 33

Morgan, J.P., 14, 25, 43, 51, 56, 128, 129, 131, 133, 152, 154

Morgan, W., 158, n4

Morgenthau, R., 92

Morris, R., 30

mortgage abuse, and fraud, 124–125

mortgage-backed securities (MBSs), 125

Mozilo, A., 127

mutual fund industry, case, 83, 120

N

NASDAQ Stock Market, 97

National Association of Securities Dealers Automated Quotations (founded in 1971), 97

The National Bureau of Economic Research (NBER), 132

National Commission on Fraudulent Financial Reporting, 95

National Industrial Recovery Act (NIRA), 61

National student marketing (1975), 82, 85, 149

New Deal programs, 53–54, 60–62

New England textile mills, 30

New Jersey laws, xi

Newmark, C., 21

New York Mercantile Exchange (NYMEX), 102

New York Stock Exchange (NYSE), 46, 54, 59, 108

Nixon, R., 76

Nocera, J., 126

O

OTC derivatives, 137

overcharging customers, 12

Oxley, M., 111–112

P

Pacific Railroad bill, 40

panics

Panic of 1792, ix, 145

Panic of 1819, 14, 45

Panic of 1837, 14

Panic of 1857, 45

Panic of 1873, xi

Panic of 1893, xi, 46, 64

Panic of 1907, 46, 64, 147

Patterson, S., 159, n12

Paul, R., 20

Paulson, H., 155, n9

Paulson, J., 128, 130

Pecora Commission (1932-1934), 55–56, 63, 148

Pendergast, T., 34

Penn Central Railroad, 15

Pennsylvania Railroad, 2, 36–37, 43

pension issues, 143

Pickens, B.T., 79, 81

Pity the Billionaire, 8

political machines, as corruption source, 145

Ponzi, C., 15, 27, 48–49, 147

Ponzi scheme (1920), 15, 44–45, 48–49, 147

poor quality audits, measures, 143

Portfolio, 155, n10

portfolio insurance, 15

Posner, V., 79, 81

Power Failure: The Insider Story of the Collapse of Enron, 158, n2

PricewaterhouseCoopers, 108, 117, 139

Private equity firms (PEFs), 157, n3

profitability, 28

proprietary trading by banks, elimination of, 136

The Public Company Accounting Oversight Board (PCAOB), 6, 69, 112, 136, 143, 152

inspects the audit firms, 117

issues auditing standards, 117

semi-public nonprofit organization, 116

Public Securities Litigation Reform Act (1995), 150

Pujo committee hearings (1913), 147

Pujo Hearings, 15, 46

Pujo Hearings of 1912-1913, 65

Q

10-Q (quarterly report), 5

Quest Communications, 110

R

Racketeer Influence and Corrupt Organizations Act, 81

railroad construction booms, 26

railroad managers, of mid-19th century, x

railroad scandals, 14

Rajaratnam, R., 153

Randell, C., 85, 149

Reagan administration, 101

Reagan, R., 93

Reagan Revolution, xii

Reconstruction Finance Corporation (RFC), 60

record keeping

Du Pont model of, 2

early method of, 1

Wedgwood’s method, 2

Regas, J., 108

regulation FD (Full Disclosure, 2001), 151

regulations, 23–24, 50

Regulation Trust Corporation (RTC), 150

regulatory actions, 92–95

regulatory capture, defined, 155, n9

regulatory response, for accounting fraud, 132

Dodd-Frank bill, 133

elimination of, proprietary trading by banks, 136

Wall Street Reform and Consumer Protection (Dodd-Frank) Act, 133–135

repo 105, 139

reports, financial, 114–115

Resolution Trust Corporation (RTC), 82

retirement benefits, 143

return on investment (ROI), 2

Revenue Act (of 1932), 54

Rite Aid case (1999), 16, 151

robber barons, x, 18, 26

Rockefeller, J.D., x, 14, 25, 27, 146

Roosevelt, F.D., xi, 53–54

New Deal program, 53, 60–62

Roosevelt, T., 18, 33, 34

Rosenberg, 21

Ross Brothers & Montgomery, 85

Ross, L., 149

S

SAC Capital case (2013), 154

Sachems, 33

Sachs, G., 153

Salomon Brothers (mortgage expert), 90, 126

Santee Canal, 35

The Sarbanes-Oxley Act (2002), xii, 5–6, 17, 111–112, 121, 152

regulatory fixes of, 116

Section 401 , as problem, 115

Sarbanes, P., 111–112

Sargent, J., 56

The Savings & Loan Industry, deregulations (1982), 149

Savings & Loan (S&L) bailout, 150

scandals, 7, 55–59. See also fraud(s), corruption

AIG, 17, 130, 138, 152, 153

BCCI, 91–92, 150

Continental vending, 149

Enron, xii, 6, 8, 10, 16–17, 99, 101, 120–121, 136, 143, 144, 151

gold corner, 39–40

Goldman Sachs and market collapse, 58–59

Great Salad oil, 149

Imclone Systems, 111, 151

internal revenue, 154

Kreuger and Toll (KT), 56–57

LIBOR, 90, 154

McKesson & Robbins, 148

Pecora Commission and, 55–56

Ponzi scheme, 48–49

raiding the Erie, 37–39

related to construction companies, 40–42

Rite Aid, 16, 151

SAC Capital, 154

subprime loans, 123–124, 127, 152

Teapot Dome, 15, 27, 47–48, 56, 147

Treasury bond, 90

Tyco, 16, 107–108, 151

WorldCom, xii, 6, 16–17, 106–107, 112, 121, 151

Yazoo Land, 145

ZZZZ Best, xii, 16, 83–85, 150

Scholes, M., 89

Schwartz, A., 131

Scrushy, R., 118

Securities Act (1933-1934), 7, 10, 62, 148

The Securities and Exchange Commission (SEC), xi–xii, 3, 53, 102. See also scandals

accounting standards, 62–69

antifraud provisions, 63

auditing and audit reform, 66–69

financial statements required as accounting standard, 4

format and required content of financial reports, 63–64

McKesson & Robbins, 66

mission, 63

Regulation S-X, 63

reports, 3–5

Rule 10b-5, 63

standard annual report format, 3–4

securitization. See structured finance

Seligmans, 58

Shays Rebellion (1886-1887), 29

Sherman Antitrust Act (1890), xi, 27, 44, 142, 146

Shiller, R., 127

Sinclair, H., 47, 56

Sixteenth Amendment, 147

Skadden, 78

Skilling, J, 101

Slater, S., 29

S&L debacle, 81–82

Sloan, A., 2

small (immaterial) frauds, 157, n5

The Smartest Guys in the Room, 158, n2

Smith, A., x, 20, 25

Smoot-Hawley Tariff of 1930, 54

Smuggler Nation (2013), 156, n1

smuggling, 142, 145, 159, n1

social responsibility, 19–20

Social Security Act (of 1935), 61

Soros, G., 90

South Sea Bubble, 13, 123

Special Purpose Entities (SPE). See also scandals

abuse of, 119–120

Cactus, 104

Chewco deal, 104

defined, 103

LJM, and LJM2 formation, 105

Raptor I-IV, 104

usage, and advantage, 104

speed vesting, 119

Spitzer, E., 120

Springfield Armory, 30

spring loading, 119

staff accounting bulletins (SABs), 63–64

stagflation, xii

standard annual report, 3–4

state laws, 27

statement of equity, 4

Statement on Auditing Procedure (SAP), 68

statements of financial accounting standards (SFASs), 4

Stewart, M., 111, 151

Stewart, R., 47

stock exchanges, 1

stock maneuvering, 147

stock market manipulation, 145

stock option maneuvering, backdating, 119, 152

stock pyramiding, 147

stock speculation, 147

Straus, S.W., 58

Strine, L., 21

Strong, W., 33

structured finance, 104

defined, 125

promotes liquidity, 126

subprime meltdown (2008), xii, 11, 17, 24. See also scandals

AIG bailout, 130

Bear collapse, 128

Fannie Mae, and Freddie Mac collapse, 129

Feds role, and criticism faced, 130–131

housing bubble bust, 127

Lehman Brothers failure, 129–130

regulatory response for, 132, 136

Dodd-Frank bill, 133

Wall Street Reform and Consumer Protection (Dodd-Frank) Act, 133–135

steps preventing, 130–131

TARP legislation and, 132

subprime loans scandal, 123–124, 127, 152

Suffolk Bank of Boston, 32

Sullivan, S., 107

Sunbeam fraud (1998), 88–89, 110, 150

Swartwout, S., 33

Swartz, M., 108, 158, n2

T

taxes (including off-shore operations), 143

T. Boone Pickens, 80–81

Teapot Dome scandal, 15, 27, 47–48, 56, 147

10-K report, 3–4

10-Ks, 114, 116

10-Q (quarterly report), 5

The Term Asset-Backed Securities Loan Facility, 131

Texas Instruments, 80

The Visible Hand: The Managerial Revolution in American Business (1977), 156, n2

Thomson, J.E., 36, 43

Thornton, G., 143

Tice, F., 111

Toffler, B., 110

Touche, N., 147, 157, n9

toxic assets, and mortgages, 128, 131, 132

Transparency International, 7

transportation business, 34–37

The Treadway Commission (1985), 95, 115

Treadway, J., 95

Treadway Report, 95

Treasury bond scandal (1991), 90

Troubled Asset Relief Program (TARP, 2008), 17, 131, 153

Truman, H., 71

Truth in Securities Act, 62

Tse, S., 111

Tulip Mania, 13, 123

Tully, S., 159, n2

Twain, M., 98

Tweed, W., xi, 33, 146

Tyco case (2002), 16, 107–108, 151

Tyco International (1993), 107

U

Ultramares case(1924), 147

Uniform Accounting, 6

Union Pacific Railroad (UP), 41

The United States Housing Authority, 124

U.S. Steel (in 1901), 146

V

Vanderbilt, C., x, 37–38, 146

Vanderbilt, W., 18

venture capitalists, 79

Vesco, R., 148

Virginia Company, 28

Volcker, P., xii, 93, 131, 136

Volcker Rule, 142

W

Wabash, St.Louis and Pacific Railroad Company v. Illinois, 27

Wagner Act (National Labor Relations Act), 61

Waksal, S., 111, 151

Wall Street abuses, 8, 15

Wall Street Reform and Consumer Protection (Dodd-Frank) Act, summary, 133–135

Walsh, T., 48

Warren Harding error, 156–157, n10

Washington, G., ix–x, 44

Waste Management fraud (1997), 16, 86–87, 110, 150

Watergate scandal (in 1970s), 144

Watkins, S., 158, n2

Wedgwood, P. J., 2

Wheeler, B., 48

Whiskey Rebellion, ix

Whitney, E., 25, 30

Whitney, R., 51, 55, 59

Wilkinson, J., ix

Wilson, W., 142

Woodward, B., 144

WorldCom scandal (2002), xii, 6, 16–17, 106–107, 112, 121, 151

X

Xerox, 110

Y

Yazoo Land scandal (1795), 145

Y2K, 97

Z

ZZZZ Best fraud case (1986), xii, 16, 83–85, 150