Changes in corporate governance following allegations of fraud against shareholders versus fraud against the government.
2012-06
Loading...
View/Download File
Persistent link to this item
Statistics
View StatisticsJournal Title
Journal ISSN
Volume Title
Title
Changes in corporate governance following allegations of fraud against shareholders versus fraud against the government.
Authors
Published Date
2012-06
Publisher
Type
Thesis or Dissertation
Abstract
This dissertation examines changes in corporate governance subsequent to allegations of fraud against the government under the False Claims Act (FCA) and compares them to governance changes after allegations of fraud in shareholder class action (SCA) lawsuits. While shareholders have clear incentives to bring about changes in top management and improve board independence when they themselves are defrauded by managers, their incentives are not that clear in cases of fraud committed by managers against the government that may result in net gains to shareholders. A particularly interesting finding of my study is that top management turnover and improvement in board independence is significantly greater following SCA lawsuits, where shareholders are the wronged party, relative to FCA lawsuits, where the fraud is committed against the government. The evidence questions shareholder ethics in responding to fraud. It appears that shareholders respond harshly when they have unambiguously suffered a loss, but may condone managerial misconduct when it may provide or promise net benefits to them.
Description
University of Minnesota Ph.D. dissertation. June 2012. Major: Business Administration. Advisor: Pervin Shroff. vii, 55 pages, appendices A-B.
Related to
Replaces
License
Collections
Series/Report Number
Funding information
Isbn identifier
Doi identifier
Previously Published Citation
Suggested citation
Krishna Moorthy, Lakshmana Kumar. (2012). Changes in corporate governance following allegations of fraud against shareholders versus fraud against the government.. Retrieved from the University Digital Conservancy, https://hdl.handle.net/11299/131803.
Content distributed via the University Digital Conservancy may be subject to additional license and use restrictions applied by the depositor. By using these files, users agree to the Terms of Use. Materials in the UDC may contain content that is disturbing and/or harmful. For more information, please see our statement on harmful content in digital repositories.