Business Case Studies,Corporate Governance & Business Ethics Case Study, Flour Corp's Business Ethics Practices: Creating Six Sigma Standards in Staying Corruption-Free

Code : GOV0001

Year : 2004

Industry : Food, Diary and Agriculture Products

Region : USA Europe

Teaching Note:Not Available

Structured Assignment :Not Available

Abstract: Little did the European business community guess what was to come when Parmalat first hit newspapers for defaulting on a bond buyback. In response to allegations and media reports, Parmalat's Founder and Chairman Calisto Tanzi, brushed aside the issue saying the money was safe in a high-yielding Epicurum fund. But in reality, the issue came as the first among a string of financial scandals that eventually led to the downfall of Parmalat. As one scandal led to another, Parmalat's reputation took a beating with it being dubbed as 'Europe's Enron'. While the US regulator, Securities and Exchange Commission, described the fraud as 'one of the largest and most brazen corporate financial frauds in history', journalists at BusinessWeek saw the case as 'globalisation gone wrong'.