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1. STRAYER LEG 565 Week 4 Assignment 2 The
Downfall of EnronV NEW
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Assignment 2: The Downfall of Enron
Due Week 4 and worth 200 points
Background of the Enron Case: During the
downfall of the Enron Corporation, Arthur
Anderson, and Enron’s accounting firm, instructed
its employees to destroy financial documents
relating to Enron. On May 6, 2002 a charge of
obstructing an official proceeding of The Securities
Exchange Commission was filed against Arthur
Andersen LLP. Hence, the term, “Whistle-blower,”
was formed as well as the Sarbanes-Oxley Act

2. which monitors the ethical and financial affairs of
all business corporations.
Using the Internet or the Strayer Library, locate
sources of information about this landmark case.
Review the contributing factors to the evolution of
this situation, the legal ramifications, and the
resulting effects on corporate ethical standards
that occurred to prevent further malfeasance on
the part of corporate executives. Refer to the
Supreme Court Full Case Name: Arthur Andersen
LLP v. United States. Citations: 544U.S 696; 125
S.Ct.2129; 161L.Ed.2d 1008; 2005 U.S.LEXIS 4348;
73U.S.L.W.4393.
Write a four to six (4-6) page paper in which you:
1. Determine the primary factors that contributed
to the downfall of Enron’s financial practices.
2. If you had been assigned to defend Enron, justify
the legality of its methods of handling its finances.
3. Differentiate the responsibilities of Arthur
Anderson’s auditors from that of Enron’s
executives.
4. Analyze the provisions of the Sarbanes-Oxley
Act.

3. 1. Use at least five (5) quality academic resources
in this assignment. Note: Wikipedia and other
Websites do not quality as academic resources.
Your assignment must follow these formatting
requirements:
• Be typed, double spaced, using Times New
Roman font (size 12), with one-inch margins on all
sides; citations and references must follow APA or
school-specific format. Check with your professor
for any additional instructions.
• Include a cover page containing the title of the
assignment, the student’s name, the professor’s
name, the course title, and the date. The cover
page and the reference page are not included in
the required assignment page length.
The specific course learning outcomes associated
with this assignment are:
• Formulate guidelines to maintain effective
corporate governance in a firm and ensure
compliance with the provisions of the Sarbanes-
Oxley Act.
• Analyze company policies to ensure compliance
with key provisions of the major federal laws

4. related to investor protection, equal employment
opportunity, consumer protection, and
environmental protection.
• Use technology and information resources to
research issues in commercial law.
• Write clearly and concisely about commercial
law using proper writing mechanics.
Grading for this assignment will be based on
answer quality, logic / organization of the paper,
and language and writing skills, using the
following rubric.