Business Case Studies, Finance, Accounting & Control Case Study, Parmalat's Collapse: The Banks' Bad Debts

print page
Tell A Friend
Bookmark
Case Studies
StrategyRetailingMarketingEconomicsFinance, Accounting & ControlLeadershipCorporate Governance & Business EthicsCorporate Social ResponsibilityInternational Trade & FinanceEntrepreneurshipHRM ⁄ Organizational BehaviourInnovation & New Product DevelopmentOperations & Project ManagementSocial NetworkingChina-related CasesIndia-related CasesWomen Executives ⁄ CEO's
CasebooksCourse Case MapsInterviewsExecutive BriefMovie Based Case StudiesMore on IBSCDCBlogContact

Case Categories

Finance, Accounting & Control Case Study

Case Title:

Parmalat's Collapse: The Banks' Bad Debts

Publication Year : 2004

Authors: Siva Rama Krishna & T Phani Madhav

Industry: Food, Diary and Agriculture Products

Region:Italy

Case Code: FAC0011

Teaching Note: Not Available

Structured Assignment: Not Available

Buy This Case Study
OR



Abstract:
In December 2003, the world witnessed the swift downfall of the Italian dairy giant Parmalat Finanziaria SpA, which for a long time, was considered as the icon of Italy's business community. The scandal that led to the stunning downfall of Parmalat was called 'one of the largest and most brazen corporate frauds in history' by the US market watchdog Securities and Exchange Commission. It was believed that Parmalat operated through a network of 200 subsidiaries, which the company used to raise finances from the banks. Investigations into the scandal brought many banks into the spotlight.

Pedagogical Objectives:

  • To discuss the financial details of Parmalat and the means through which it raised funds from banks
  • To discuss the role of special purpose vehicles set up by Parmalat to raise money from banks to fund its expansion
  • To discuss the flaws/mistakes made by banks in failing to realise the company's wrong motives as well as troubles.

Keywords : Corporate Governance Case Study, Securities and Exchange Commission, Europe's Enron, Bank of America, Citigroup, Calisto Tanzi, Bonlat, Deutsche Bank, Merrill Lynch, UBS, Parmalat expansion, Enrico Bondi, Bankruptcy, Buconero

Recently Bought Case Studies

    Recently Bought Case Studies

    Executive Interviews

  • David ConklinDavid Conklin

    David Conklin, is a professor at the Richard Ivey School of Business
    Speaks on Government and Business
  • Lord Meghnad DesaiLord Meghnad Desai

    Lord Meghnad Desai, is an Indian-born British economist and Labor politician
    Speaks on Government and Business
  • Vijay GovindarajanVijay Govindarajan

    Vijay Govindarajan, is widely regarded as one of the world’s leading experts on strategy and innovation
    Speaks on Reverse Innovation
  • View All Executive Interviews»

Contact us: IBS Case Development Centre (IBSCDC), IFHE Campus, Donthanapally, Sankarapally Road, Hyderabad-501203, Telangana, INDIA.
Mob: +91- 9640901313,
E-mail: casehelpdesk@ibsindia.org

©2020-2025 IBS Case Development Centre. All rights reserved. | Careers | Privacy Policy | Terms of Use | Disclosure | Site Map xml sitemap