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View Full Version : Judge Approves $750M WorldCom Accounting Fraud Settlement


Terri
07-07-2003, 11:03 PM
Judge Approves $750M WorldCom Accounting Fraud Settlement

Fox News
July 7, 2003

WASHINGTON — A federal judge on Monday approved a $750 million settlement between federal regulators and WorldCom, Inc., an amount $250 million higher than the originally proposed penalty for the $11 billion accounting fraud case.

U.S. District Judge Jed Rakoff of Manhattan said that driving the telecommunications company out of business was not the goal, adding that a substantially heavier fine for a corporate accounting fraud scandal would "unfairly penalize" the company's 50,000 employees.

Rakoff noted that Worldcom, through a court-appointed monitor, has attempted to overhaul its corporate culture and agreed to continued monitoring to prevent similar fraud from recurring.

More (http://www.foxnews.com/story/0,2933,91250,00.html )