When Greed Goes Too Far - The Worldcom Fraud
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- Опубликовано: 10 май 2024
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www.pcmag.com/encyclopedia/te...
www.cfo.com/accounting-tax/20...
stars.library.ucf.edu/cgi/vie...
etd.fcla.edu/CF/CFH0003811/Ash...
www.sec.gov/Archives/edgar/da...
danielsethics.mgt.unm.edu/pdf...
• WORLDCOM ACCOUNTING FR...
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![How to Lie Your Way to $34 Billion [Nikola Motors Fraud]](http://i.ytimg.com/vi/88fWUZhYb04/mqdefault.jpg)
![How to Lie Your Way to $34 Billion [Nikola Motors Fraud]](/img/tr.png)
They cost people over 17,000 jobs and $30 Billion Dollars but only get 5 years of jail time? You can go to jail for 10 years here for just having pot on you in some states.
The US Constitution was written to benefit and protect the Rich at the cost of Working People. Once you get that through your head, everything will start to make sense.
That's the land of the free.
White collar crimes that’s committed by the rich and politicians vs a drug crime that’s usually committed by middle class and people that’s broke come on now 😂
@@fallenlu9039 so it’s basically good for broke people that they live a peaceful life in Jail.
@@robwilton9539 yep
When a Fortune 500 CEO says “what I feel in my heart of hearts,” run for your fucking lives...
Y?
@@non8743 When they begin talking about emotions, heart, instead of talking about the facts, when confronted... Good chance there is something scammy going on.
@@non8743 you don't become a CEO talking about emotions or being emotional
Always go in with the view that you're the prey.
😂😂😂😂
That CFO really deserved more time than 5 years. He seemed really involved in the whole fraud and it messed up a lot of people's lives.
He got a reduced sentence because he spilled the beans in court.
@@johndavies1506 The bean counter spilled the beans
I worked at WorldCom as a sales rep in Australia when all this blew up. They paid crazy commissions to their sales people - best sales job I ever had. 😂
Until you phone rang off the hook for all the stuff not working...be honest
LOL I love this one positive thing that came out of this. We need to do a documentary on this lol. Yall was getting paid lol
@@teamthinkbiginternational475 same thing happened in local government in Denmark with a Mayor, guy burrowed billions illegally, embezzeled money to drink extremely expensive wine, sent the local pensionists on 3 fully paid vaccations to Spain, oh and all the school kids got a computer!
Needless to say the guy became a legend, the poor legit celebrate the guy as a modern Robin hood despite it all
@@Elenrai 😂 wow
Its crazy how much power is wielded by corporate executives compared to shareholders
I worked for MCI Worldcom at a call center when I was 18 in Alpharetta, GA. One day I came to work and the building was locked up. Being 18, I didn't really give a sh*t and joined the Navy a few weeks later.
How many seamen did u see?
I worked at a call center for them too here in Nederland, TX. After months of horrible calls about terrible service and people locked into contracts they didn't understand, we came in one day and they announced we would be switching our call center to AT&T service. Training started the next day. I was so thankful for that too. Worldcom crashed hard and all the customers locked into contracts with broken phones and no service were shafted.
Good for you! I was at the video conferencing call center in McLean VA when they told us to leave.
Tell us more
I mean , those are some big balls lmao
"Because everyone expects the person above them is doing the right thing". This is a real concern even today. In my own company, a lot of people are heard saying, "just do what is being told" or "they are at XYZ Senior position, so they know better than we do". While I agree that they are at a senior role for a reason, blind following is never good.
Right. As Spider-man never said, "With great responsibility comes great pressure." And that can send the best of us off the rails...
When I was at school most of my teachers had seen the horrors of what Germany did in World War 2 so we were taught to question everything and never blindly follow any rule or even a law. To this day I still run my life with this and yes it has brought me some difficulties but it has also brought me peace of mind.
i only followed orders (Eichmann et al)
@@clemenshampel "I only followed hors d'oeuvres with an amuse-bouche, soup, appetizer, salad, fish, first main course, palate cleanser, second main course, cheese course, dessert, and mignardise." (Friedman Paul Erhardt et it all)
Trust but verify
Cyntia Cooper was the unsung Hero in this case. I once read that she orders her employee to work in nightshift and move the data they found into disks to avoid the data they found would be deleted or destroyed. Her family also notice some change in herself. She often sleep very late in the night, she often ask her family whether what she was doing is right or wrong.
Yes, Ms. Cooper was "the hero" of exposing the fraud and standing up to senior WorldCom executives. Kudos to her.
I worked for WorldCom in Holland. Before going to work I saw the collapse on breakfast television, when I got to work most of my colleagues didn't know about the news. It took nearly 3 days before the company made an official statement to us. They got chapter 11, and I lost my job.
Last time I was this early Theranos was an advance medical company
My first pick for the next video...
@@blork74 already done. ;-)
@@blork74 it's up already
@@LoganMaclaren I didn't know let's grab some popcorn
@@blork74 He’s already done one on it
"When Greed Goes Too Far" - This series could last for decades.
Well Greed is part of the 7 deadly sins after all.
When Greed Goes Too Far: The Story of Humanity
Centuries.
Forever.
This needed one more like to make it to 200. And it is worth a like!
What I repect and love about your work is : the research you do.
The lack of sensationalism.
No flood of adjectives and adverbs. Clear, clever and concise explanations.
No psychological hypothesis of what made the perpetrators do what they did.
The tone, timber and pitch of your voice is spot on .
I wish you every success.
Research could use a little polishing. There is no such thing as Jacksonville, MS
Yeah, reading Wikipedia and watching American Greed is real taxing… lmao, there’s nothing new in this video that hasn’t already been reported elsewhere.
@DAVID09 No, that’s a strawman, and I was replying to the statement that this video was “a lot of research”, which it isn’t.
@@rynocaliendo9569 How horrible....
We need shocked Pikachu face
Ebbers would cut free coffee for his workers, but then throw lavish birthday parties for his wife where he would gift her with a $6000 shower curtain, among other things. Ahh... good times. I remember the 90's well.
88,000 workers...that's a lot of coffee!
@@jbeasy5620 Still, money better spent to try and keep 88,000 workers happy...
I looked up this shower curtain and I was highly disappointed by it. It feels like the crappy shower curtain my mom got back in the early 2000s from one of her many "country" aesthetic homeware catalogs. The curtain didn't last long until it was replaced with another tacky curtain.
Workers in that company should've left right then and there!
He has to be able to afford his ivory back scratcher. (Simpons reference)
I swear dude your voice is so soothing it really makes me feel so calm
I honestly wouldn't mind him starting off an ASMR series
gay
Yeah, he needs to cut it out!
did yall know coldfusion looks like questlove with dreads
Coldfusion and aperture voice makes you feel calm.
FTX : Hold my beer
I worked for Worldcom at the turn of the last century. We were so excited when we learned that we were getting Worldcom stock options. I thought I'd be able to retire by 35 years old. That didn't quite work out.
Love these fraud series. Please keep them coming
he should do the taco bell fraud next
Lots in crypto out to be debunked. Biggest : Tether. ETH Or Blockstream
There's too much to cover.
@@piotrd.4850 it's just crazy man. Why do we keep doing this to ourselves. 😔
Defi100 coming up next
As an accountant watching this I can say that Worldcom are by far not the only company that have done and still do this.
Worldcom, Enron, the Big Four, and others giving honest accountants a bad name. Bunch of fks.
We're long past the point where the criminal penalties for "white collar crimes" need to be enforced to totalitarian-dictator levels. Remember Arthur Anderson? Not one of them went to jail. They just disbanded their made up company & everyone went to work @ other companies.
Well if you were a chartered accountant you would be obliged to report it
@@joedennehy386 Not necessarily. The rules for chartered accountants are nuanced, and often you are forbidden from reporting something due to client confidentiality or duty of care to your employer.
The man who uncovered the Madoff fraud feels that some 40% of major corporations fake their financials to a significant degree.
It's such a shame. MCI was a really great company. I got my first sales job there in 1986. We had so much fun. And believe me they knew how to pay people. We would get lunch catered in occasionally. But even in 86 and 87 we were making over $8.00 hourly. Bill McGowan, the founder of MCI was a true visionary.
They had a large office in Denver. I dated an executive with the company from 86-89. MCI had the best parties!
He was paid extremely well too.
Try saying $8/hr in now days
@@mohammedali-uw8kq it's like $22/hr.
Hey. David, what are you doing now. Was tech worth it? I want to know how's it going. I'm 26 and in the tech line
Some ppl are still making $8/hr now!
That rarest of things - an American businessman going to prison.
Actually Bernie Ebbers was a Canadian
@@thomasgoodson7290 He was tried as an American businessman.
@@johnnymittle well ya, obviously obtained US citizenship
I absolutely love these videos. They are well researched, edited and bring a superb understanding to these events
I was about to comment, but couldn’t say it any better.
I too like cheese.
Also the narrator has a great radio voice.
Interesting content
It's called being a big brain, overthinking, he needs to know about everything or he dies in depression. I also always need to find something new to learn or I get depressed about this life because it's so boring
Worldcom held UUNet; a massive core backbone (Tier1 ASN) of the Internet; nearly priceless in value but ignored at the time. AT&T, which was big in telecom, but which was a tiny Internet player back then, purchased that part during bankruptcy. They were propelled into the Internet in a way that they likely would never have pulled off themselves. The irony of the whole crash was that the underlying system was insanely valuable in the long run, but due to fraud and bad financial management it was crushed.
Wikipedia says UUNet is owned by Verizon, who acquired it when they bought MCI. Is Wikipedia incorrect?
@@agspittal7804 Bad memory on my part. The other big legacy phone company, not AT&T. :)
@@JohnDupuyCOMO You a C.E.O., by any chance??
Whats even more ironic than that is they recently just changed the rules so that leases are often capitalized now. The "fraud" that destroyed them is a standard accounting principle now...
@@agspittal7804 More often than not.
As an accounting student, this was pretty eye-opening. Thank you.
When your CEO looks to cut costs and cuts coffee and or snacks from the lowest workers.. you truly know you are not there to help anybody but the few who sit at the top.
Yeah, creature comforts like that are some of the worst things to cut in terms of the cost-to-effect-on-workplace ratio; those save pretty much nothing and will cause discontent among your employees, resulting in less work being done.
@@KnakuanaRka yeah I can make a 5 minute stop, grab a sandwich and a drink on my way to my 1st job and be In a good mood. Or just be mad and fuck off on the first job to spite the company. We are not robots.
This video hits close to home as I was employed by WorldCom during this period. My first corporate job, I started in early 1998, I thought I was on top of the world with a solid salary job, benefits, options, and with up and coming company. People were impressed when you said you worked at WorldCom, the company was the most popular brands at the time, on par with Apple and Amazon today. I remember having gotten home with a night out with the girlfriend and at 530 in the morning seeing the headline on CNN SEC investigating WorldCom for cooking the books. After see and hearing the report I called a friend and coworker and left a message "Did you hear the news yet about work, we are in so much trouble. This is going to end bad." No truer words have been spoke yet. Ended up surviving the first round of layoffs, then they entered bankruptcy survived that round too. Then right before the company came out of bankruptcy the final round of layoffs got me. I should've jump ship when I first hear about issue but nope thought loyalty meant something. Nope to that too. Yeah those guys got jail time but it didn't compare to the lives they destroyed without a thought. My belief in corporate America was totally shattered as was many people's. And what did I learn - Work hard but be wary! Currently times are getting tough and it going to get rougher for America with hyper-inflation, unemployment, and foreign interference. We got to help each other and work together because in the end we are all we got when everyone and everybody comes after us. We either stand together and survive or stay divide and fall apart - And that means all that America has done, all the sacrifices we made, all the lives given to the dream will count for nothing.
Tha is for your thoughts on this. It helps understand emotions people were going through in these times. Some dream jobs/ careers are working for Apple or Google. It is crazy to think a company like that would fall but in reality everything changes. Awesome insight
Never give a company loyalty, and if you do, remember they will stab you in the back or dump you the moment it becomes beneficial to them. Similarly, remember the Human Resources Department is not there for your benefit, its there to protect the company against you.
so basically your saying American corporate greed I.e so that the top echelon of bosses can keep there yachts private jets.
@@RashidKhan-ji6qf , please tell me how your country is doing again?
@Phillip Bouie, I do hope that you a. started your own business, b. learned what NOT to do when making your own business, and c. know that money and all of its related ilk are all artificial scams of the Luciferian globalist elite that the MCI WorldCom was only merely a part of on the surface.
Cynthia has cojones of steel!! I cannot imagine the ire she endured. Brave woman.
She sold us out.
@@justbeconfidentbro1286 lol wut
What about Theranos and Onecoin? Bet you are inspired! lol
@@lickalotlickalot2210 that is in no way the same though, those were different women, so it had nothing to do with Cynthia Cooper in the first place.
@@lickalotlickalot2210 The only similarity is that they're women... like you know how Bernie Maddof and most of corrupt wallstreet are men
I have to admit, I admire Bernie Ebbers for cleaning the rooms at his own motels. He may have been doing it to pinch pennies, but at least he was doing the dirty work himself rather than underpaying someone else.
True
@T3K iplay I run a small startup and I do all the cleaning....does this make me greedy?
@@chandan4156 yes
@@chandan4156 Debateable but it shows you would do anything and everything to keep running costs low to meet quarterly earnings expectations
@@chandan4156 for a small business owner who is trying to keep the business open, NO. However, if a CEO of a "multi billion dollar company", just to keep the stock prices up, directs or condones fraudulant entries in the financial books then YES!
I lived across the interstate from what had been their HQ from 2007-2011, it was real weird whenever we went to Pizza Hut which was just outside the gates where all that Worldcom B-roll footage was filmed lol. That also killed off our hockey team. A friend’s dad was one of those laid off and he took all kinds of IT gear on his way out lol. They had blank discs for years
I love this channel, I've binged these docs all day. Getting hooked on a topic I had no real interest in previously trully is the sign of a good creator.
I love how every CEO can just straight lie to the faces of its share holders and investors when the ship starts going down.
Because they are all sociopaths some more than others. Ruthlessness, power, ambition and greed in business and Ruthlessness, power, and ambition in other pursuits like the Military, bureaucracy and Politics (money too in politics)
@@duke927 relax not everyone is like that ofc there is a lot but not everyone
@@imjustarandomindianguy4435 ‘Because they are all’ - automatic ignorance, red flags in an opinion.
@@duke927 Whoa buddy, not everyone in business or politics is a sociopath. Look up the definition sometime and narrow down your list.
@@duke927 Welcome to the world. Time to grow up and live life a little haha
My dad worked in their IT department when this all went down. I remember hearing about it in vague terms but nothing this concrete. Thanks for the info.
Cynthia Cooper needs her own story. She had the integrity to stick to ethical accounting, and had the courage to stand up against her own employer.
I never usually watch this kind of video but have been plowing through these as I find the format and the content fascinating. Thanks for putting them together. Cheers from Canberra!
"When a measure becomes a goal, it ceases to be a good measure"
Wow! Profound!!
Holy smokes, that's fantastic
Elon musk...
Most billionaires are wealthy on paper but it takes real (actual) money to live a billionaire lifestyle. I would love to see a video on how billionaires actually fund this as their monthly outgoings must be huge. This is probably why many of them seem to do such strange things for what, on the surface, seems a relatively small amount of money.
If you have real assets, you can borrow against them at an interest rate much lower than their appreciation. That way, you continue to make money with them, while drawing liquidity to live a good lifestyle, and no taxes on that cash. (A loan is not income. Capital gains on the assets is.)
I guarantee you that billionaires have a slew of appreciating assets, such as real estate--which can also earn rent.
@@joesterling4299 However I assume the risk still remains if there is a housing market crash again then they are likely to be screwed in terms of rental income to pay off the low interest mortage payments.
A video doc on this would be very interesting !!
Economics Explained has a video titled "Not all billionaires are equal" or something like that. That video covers it.
Not all billionaires are created equal, by economics explained, i remembered that video thanks to the commenter above me, it was a great video that you should definitely check out
I love where your channel has gone over the years. I've been watching since the early days, I worked at SolarCity and you always had the solar scoop.
This is probably one of my fav channels. Great content. Good background music. Overall great work 👌🏻
The 2020's will have many Worldcom's. We're in the age of the grifter.
Watch out for "Bitcoin" and other cypto currancies. They will collapse with no warning.
@@jcampbell2481 My thoughts too, but what happens to all the money 'invested' in them?
@@EllieMaes-Grandad changed hand to the one who sold their coins to the unfortunate newcomers.
They will probably be the SPACs. I think it’s amazing how popular they have become when Enron used the same vehicles to hide their fraud.
@@bigkahunaburger5185 Fools and their money will soon be parted?
This makes me want to be an auditor when I grow up and pursue accounting. I wanna put all this filthy greedy management down who thrive at the expense of us ordinary working individuals.
1. Many auditors say they have the most boring job in the world. 2. There's a huge expectation gap in auditing: most people imagine they're checking every transaction for fraud, but that's not really feasible. It's mostly an investigation of the systems, finding flaws in them (like the CFO being able to request that a transaction is booked without any documentation, without anyone else having to check it or sign off on it) and lots of sampling work. I suppose this fraud was unearthed by an internal auditor so that's a path; they can actually go into more detail. Also tax and fraud inspectors are doing more like the type of auditing most think of but it's not as well paid. I'm sure there's types of audit that are more fun. But, if you want to really make a difference, aim for policy-making. GL!
Also, don't know how it works elsewhere in the world but, in the UK, you can go straight for professional qualifications after your A-levels if you can get a placement in a firm you like. I found that university, even if it was an accountancy degree, did little to prepare me for the professional qualifications.
Certainly there will always be a need.
Go into forensic accounting, and look into FBI jobs or the equivalent if you're not in the US.
If you want to spend years checking tick boxes on thousand-items checklists, sure, you will have fun. Audit was interesting 15 years ago. Now it is just some boring control reviews.
@@lasura there are many of my colleagues in AI and Data science field are working on tools to help auditors scan the whole financial documents, some of them already operational. Don’t get me wrong, it’s still need human hard work, but at least it’s a bit less boring these days
11:00 Remember, when your boss tells you to commit fraud, - and you've clearified it would be fraud - you have a once-in-a-lifetime opportunity to laugh in their face and quit.
You can't pay your mortgage from jail with leans on your everything.
“If honesty creates legacy, than dishonesty distorts it.” Fan-freaking-tastic!
No dishonesty destroys legacies literally fucking destroy it and thats the sad reality
Scammer detection checklist:
1. Does the founder wear a turtle neck?
2. Is the founder's first name 'Bernie'
Bernie madoff joined the chat🤣
@@johnpaulapeh5305 ... Feel the Bern.
Bernie Sanders
@@undertaker11ism he's the goat
The professionalism of the content maintained makes me wonder why isn't it a real TV channel?
Simply the best Channel I would say.
Because of how TV works. Meaning the TV industry, it can be very harsh or in some cases downright evil to artists. There is a very good reason, why so many artists stick to any other platforms available. You're stuck in the past, thinking that TV is the premium place to be.
Because all this did was retread information from Wikipedia and an episode of American Greed. There was no new information presented here.
Putting this on TV would be a downgrade XD I haven't watched TV since I was 8 years old in 2002, in the future, TV won't even exist. I prefer Dagogo on here, where he can't have socks shoved in his mouth as easily
Right on point bro
Are you pursuing CA?
@@xraceboyex Sadly RUclips is trying hard to be like tv
I worked at MCI in 1997 - 1998, Greenville, SC call center. It was my very first office job, and first of many support roles and eventually senior support roles. I eventually went into tech and now am director of operations.
From MCI, I learned a lot about customer service because at that time, they had a three week training program for new hires, etc...I became a top cs rep for KSATS and call handle times. I got my first foray into sales, too, as we were encouraged to fill a need and upsell where we saw it. No scripts, they just taught active listening for customer service and anticipating the customer's need.
It's those principles I try to impart to my team to this day. I learned a lot of valuable skills at MCI.
I love your videos Dagogo, you are simply the best at what you do. The homework you must do must take some seriously time consuming effort, but it all worth it for people like me and the rest of your subscribers. Ps You have the perfect voice to deliver the narration. Class
Your documentaries on business scandals are some of my favourites! Please can you do a video on the failure of Powa Technologies sometime. I remember reading about this scandal unfolding a few years back, but I've never seen any documentaries about it...
I love studying about WorldCom and I've been watching it for decades. One of my earliest job interviews was at a WorldCom call center and they called me back for a second round of interviews but friends and ex-employees said stay away because their goals were too far reaching, wow I had no idea to what magnitude that would lead to in future years!
You were lucky
Love these series. Please keep them coming
13:50 "In my heart of hearts" is when you know someone is lying
1:02 That is an awesome diagram of AT&T breaking up into many companies then merging back into at&t (emphasis lowercase), or becoming Verizon and Quest.
It would be quite a surprise if any of those companies are doing what Worldcom did. After seeing this video, perhaps I would be less surprised.
why did AT&T break up?
@@loaffette3860 Because Antitrust used to actually mean something in the USA. en.wikipedia.org/wiki/Breakup_of_the_Bell_System
@@LocalChamp got it
@@LocalChamp now, why shouldn't Google or Facebook break up now 🤔. They're too big to be what they are.
@@aitoluxd they want to do it, but Zuckerberg is using his influence to stop them
Missed this voice for quite a while ..
Let's fight
I worked for Mci Worldcom Cedar Rapids Ia. from 2000 to 2004. I seriously remember those as being the best days of my life. The people that I worked with will always be in my thoughts.
Thank you for uploading this. To answer the question from my perspective, I would say that people in similar positions in the world today learned to keep their mouth shut...
I binged these so much as I was writing my dissertation, now that I have finally submitted it I'm enjoying them even more. Keep them coming :)!
Me too
What were you writing about ?
If this guy was the tenth worst, I shudder imagining how much crap the first nine pulled off..
Bernie Madoff is one of them probably...
then there was Enron
Soon to be the ceo of Trump, inc.
@@prism8289 yeah okay buddy, orange man bad
@@pope69420 did you figure it out on your own?
Great video and the story clearly explained. How exec greed causes panic which leads to monumental blunders.
Thank you for including all the songs in the video description!
Huge money breeds huge greed. It's the story of humanity and will never end - unfortunately 😔
money will never bring happiness
mo money mo problems
@@xxtina5794 money can bring happiness, but at a cost
A lot of people are this sort of dirty, they're just not in a position to perpetrate any fraud of significance. Take the RUclips comment scammer that's been floating about.
@@samsonsoturian6013 wdym which scammer lmao
These are the types of videos that would make Netflix millions
Thank you for your incredibly well produced and presented videos. Keep up the good work.
i remember being in highschool and in career and personal planning class we did a project where we read up on stocks in newspapers and had an imaginary pool of money to invest with. I invested heavily in worldcom just before it started to crash in this project
I remember when this happened in early 2000's. It amazed me at the power Ebbers had and how he was able to just push mergers and do whatever he wanted it seemed.
And this guy came from running Motor Hotels in sketchy areas?? Not a Yale or Harvard man?
Just a suggestion - could you look into the fall of Barings Bank?
Good suggestion, I absolutely love that story!1
@@ColdFusion Definitely an interesting story. Be good to see your take on it 😁
@@ktfilms89 I'm intrigued
Sounds interesting
@@ColdFusion can you also make one on the economic crisis of 2008?
Love all the scandal videos mate! Keep them coming!!
These documentaries are very informative. Can you please one about Nissan and Carlos Ghosn ? Thanks.
For a split second I was like "holy crap! they got Elizabeth Holmes to investigate!"
Got me too
There is definitely a striking resemblance.
I thought that too! 😂
My uncle George was a top executive at MCI in St. Louis, MO and put his entire net worth into the stock. He lost his job and everything and died in 2017. I think this had a big part to do with his early death. He still wanted to live the lifestyle he had in late 1990s and he couldn't come to terms with having to rent an apartment and low pay job. He literally lost everything, his house, his wife, his brand new Saab with the fancy cup holder, everything was gone.
Learn from him. Be happy with less.. happiness is a state of mind
He lost his wife?? She died??
@@yeahyeah9869 , no. My aunt is still alive.
@@patrickmccarron5059 ohh 🤦 sorry...I thought because he lost his wealth and on top of that something happened to his wife😅 but she left him because of this
If his wife was just with him for the $ then it sounds like she was about as reliable as that fancy cup holder.
Taking audit for my accounting masters, we just discussed this scandal. Great video!
I am getting hooked to Coldfusion TV. fantastic presentation of fact. Thank you.
"Are there any future Worldcoms out there"
> Shows ColdFusion logo.
Our boy Dagogo is cooking the books!
When a company needs to grow by endless acquisitions, it needs to be scrutinized more closely than others. CEOs of acquirers may simply satisfy their hubris or thirst for power. Splitting up or spinning off companies from a giant may actually show the social responsibility of the CEO by allowing opportunities for younger generations to manage spinoffs.
Facebook!!!!!
Feels like a pyramid scheme where you keep adding in new companies to keep the flow going
Imagine that
well done,
clear, to the point, lots of info and not too long,
very nice
"(...) the lack of courage to blow the whistle on senior officials"
That perfectly sums it up.
(Just look at how they reacted to Frances Haugen)
Power corrupts, absolute power corrupts absolutely.
We are rewarding the wrong behaviours and we need new systems in place.
Thank you for another fantastic video!
Ebbers and people like him should have been fixed when they were 4 to 8 years age and because they weren't we have to live with them and there lack of morals
My fave quote as well..... Lord Acton I believe....
The only people who should be given power, are those that don’t want it.
They won't be getting REWARDED once they are REVEALED for the SCUM they really is"
You can’t even imagine how much I’ve missed you.
Ngl out of context, that's kinda gay.
Insert some heart emojis 💞💕💘
@@the48thhawk74 😂😂
I can imagine not that much. His last video was a week ago.
Amen.
Crazy.... I worked for this company back when I was in college. Actually met this guy. He was a pretty intense person.
Genuinely watched 10 times now thank you dagogo you are a service to the world
And this, along with Enron, signalled the end of Arthur Anderson as well. (Then one of the Big Five audit firms in the world).
Yep. Accounting firms live and die on their reputation, on the idea that when you look at the end of an accounting statement and it says "Audited by PricewaterhouseCooper", you can trust that the document and the numbers contained therein are legit. If an accounting firm is caught in the middle of an accounting fraud scheme, they are usually just toast.
When I was watching this video, in the back of my head I was wondering, who the hell were the external auditors signing off the books of WorldCom during those years
When I heard Arthur Andersen ... I was like "Owwww .... makes sense now" lol.
"External" auditors have always had the problem that they know who exactly is signing their checks. They have an incentive to overlook issues to keep their clients paying.
Haha. I’m a Canadian and I knew the name sounded familiar
Informative. High production value.
You deserve all the success my dude!
LITERALLY JUST GOT UP FROM STUDYING SAME THING AND I WAS FINDING ITS DOCUMENTARY AND HERE IT IS!!😍😍😍😍
Same👌
Happened to me on a different Video. I was looking something up, and 2 hours later I saw the YT notification. Dagogo is supernatural
Funny enough that I stumbled upon this video, while studying managerial accounting.
You're being tracked 😜
Same here, revising for my Fundemantals of financial and management accounting exam next week
"hello, I have a totally legit, non-fraudulent business proposition for you, are you interested?"
"what's your name?"
"Bernie"
"lol no"
Amazing! ❤️
Love your channel.
My wish is that a lot more people see your content.
I worked for an insurance company and in late 2010's we were printing thousands of checks for financial institutions that had $0.00 as the amount? A few years later the company had massive layoffs in several departments!
Just your typical Chef cookin' the books.
Cold fusion and Johnny Harris if they were put in one room I tell you, just pure golden content
Man.. That would be Epic 🔥🔥🔥
And coffeezilla
johnny is not there yet..
@@moreknowslessshows broooo tell me abt it, the dude takes 18 mins to explain that an NFT is a virtual item and that who the owner is is stored on a shared public record
edit: imo he makes good vids, but the overly long length is a deal breaker
Johnny Harris is way better. Less boring and more interactive.
My mother always told me that the person that is always worried about theft is probably the biggest thief themselves. If that is true, we are probably looking at some serious fraud that will start coming out in the next few years.
LUMEN in 2023
OMG DAGOGOOOO!!
THIS WAS AN EPIC STORY I NEVER KNEW ABT!!
I LEARNED SOMETHING NEW TODAY
COLDFUSION IS THE BEST JOURNAL ON THE INTERNET!!
Seems like this happens a similar way with all these big companies. Earnings start to drop, and management makes up numbers so investors don’t start liquidating. Earnings drop usually due to some kind of poor business decisions but even perhaps just due to a change in the market, successfull competitors,
lack of innovation and ability to adapt.
They were literally banned from moving to mobile so of course they where fucked.
@@Ushio01 It's highlights how m-o-r-o-n-i-c and hypocritical this system is - forbid some company to expanse to new promising innovate territory cause monopoly will hurt customers' interests and then watch how this company gets crushed by competitors and markets making its shareholders (customers) lose their money!
@@nonamenoname1942 Let me just get this straight, you think monopolies are a good thing?
@@randomtinypotatocried No, they're not (just look at modern huge it-companies nonsense). I think authorities took non-optimal decision (and maybe worse - there could be a conflict of interests) and they too must be punished for the consequences (losses of shareholders) for he sake of economical health.
I used to work for a promotional marketing company in Atlanta, and WorldCom was one of our clients. I remember them having extravagant employee-appreciation events, and our company was tasked with delivering a bunch goodies with their logos printed on them. There was a WorldCom rep who would visit us to place these orders until the fateful day of scandal. That rep was one of the people laid off.
This is the real danger of compensating executives with stock options to avoid income taxes. A perfect example. Execs will do anything to protect their compensation, especially when that compensation is subject to value fluctuations of the market. Ditto swapping pensions for 401(K) plans. The risk is insanely high. It also begs the question, at what point have you accumulated enough wealth?
None of the richest guys in America live on cash, but borrowed money secured by assets whose value can tank. Meantime, they essentially live a very low-cost existence, compared to the average working American who must choose every day the best way to divest themselves of their only asset: their paycheck.
Thank you for the unbiased, factual and straightforward presentation
Me, poor: scared to mis-enter the cents on my tax return
them, rich: adding zeros to all of their federal filings
I think I've been doing it wrong this whole time.
Hey Dagogo, could you do a video on HFT firms, David Lauer, Brad Katsuyama, and basically covering the foundation of IEX?? Thanks for all of your content , keep your videos coming.
This episode refreshed my knowledge in Accounting.
Superbe videos you make, mutch respect, and that's a Dutch person saying/typing this to you, very understanding to, the way you do these, so again, mutch respect.
Our CFO told us to do the same, when I Informed the Owners and he resigned! lol, I was only the Accountant though!
Company: does fraud
Also company: ok lets fire all employees then
Good videos for humanity especially the youth. Many in this world is about fraud and exploiting other people. Keep educated and safe.
Acquisitions, mergers, and roll-ups became somewhat commonplace during the Clinton years.
The owner of a company I worked with in the 2000s had been involved in one of those types of entities in the transportation and logistics sector back in the 1990s told me that the "accretion of assets" accounting rules that decade basically allowed a merger or acquisition to take place and then declare in the financials that 2 + 2 did not equal 4, but instead was equal to 5, or 8 or 10, after which, the company would then borrow against the new financials in order to effect the next acquisition. When the accounting rules changed, around the year 2000, there was a sudden crash of some of these high-flying companies (MCI/Worldcom, Enron, Tyco Electronics, and many smaller ones that would either lose their public listing or collapse and sell to bigger companies for pennies on the dollar).
1990s financial darlings like Ebbers, Kenneth Lay (Enron), and Dennis Kozlowski (Tyco) would be bankrupted and jailed in the early-2000s.