Larry Katzen discussed the collapse of the accounting company Arthur Andersen on Tuesday afternoon, as part of the annual Ethics Week hosted by the Mendoza College of Business. Katzen, who was a managing partner at the company when it was indicted for obstruction of justice in association with Enron, said the media played a large part in the company’s downfall.“Everything people learned about the Arthur Andersen and Enron case was what they read in the papers and saw on TV,” Katzen said. “It all said that Arthur Andersen did a terrible auditing job, and this was responsible for the demise of the company.” Emmet Farnan Larry Katzen speaks Tuesday afternoon. Katzen previously worked for Arthur Andersen, a company indicted for association with Enron.Katzen disputed this portrayal, arguing there was no evidence Arthur Andersen did anything wrong during the auditing process.As an accounting firm for Enron, Arthur Andersen had millions of documents subpoenaed after Enron was exposed for accounting fraud, Katzen said. However, he challenged the accusation that Arthur Andersen shredded important documents prior to the subpoena.“It’s a requirement that before you get an indictment, you must destroy all documents that are irrelevant to the auditors,” he said.Furthermore, Katzen said Enron’s fraud was mainly related to special purpose entities, which another accounting firm was responsible for auditing. Katzen said Arthur Anderson, throughout his 35 years at the company, maintained a high ethical standard.“The reason why I joined Arthur Andersen was their integrity,” he said. “These people walked away from clients that they felt were not operating under conservative accounting principles.”Katzen said the effects of the scandal were devastating. Within 90 days of the indictment, Arthur Andersen had lost its right to audit and was out of business.“Eighty-five thousand people lost their jobs because of Arthur Andersen’s association with Enron,” he said.Although Katzen said he was about to retire right before the scandal hit, he stayed on for longer in order to help other employees find new jobs.“I can proudly say that almost all 85,000 people have landed on their feet well and have done great things in their new organizations,” he said.Katzen said he learned from this experience “to do the right thing, no matter what the political ramifications might be.” In addition, Katzen said his decision to delay retirement helped him learn the sacrifice that is often necessary for the greater good of the company.“You will go through situations where you have to make tough decisions and must make personal sacrifices,” he said.Katzen also said his desire for new knowledge and strategies helped him to have a long and accomplished career. Up until his retirement, he regularly attended new training sessions and workshops, he said.“The only way you can stay ahead of this game throughout your entire career is to continually learn new things,” he said. “Don’t get soft and lean on your past. You have to always rise to the top.”Finally, Katzen said a company must have a culture that values integrity in order to be successful.“The common culture is the glue that holds an organization together,” Katzen said.Ethics Week at the Mendoza College of Business will continue tomorrow with the keynote address, to be delivered by Susan Ochs, a senior fellow and founder of the Better Banking Project. The lecture, titled “Managing Mindset: The Key to Better Corporate Behavior,” will take place in Giovanini Commons at 4:30 p.m.Tags: Arthur Andersen, Enron, Ethics week, Larry Katzen, mendoza college of business
Published on October 12, 2019 at 8:13 pm Contact Gaurav: [email protected] Facebook Twitter Google+ Just 37 seconds into the third period, forward Emma Polaski was sent to the box for interference. Then, Kristen Siermachesky joined her in the box a minute later. Going into the second intermission, Syracuse was down a goal. But the moment the third period began, Northeastern started pulling away. Gifted with a five-on-three powerplay, Northeastern punished Syracuse with a quick goal. The Orange were left chasing shadows for the rest of the game and were handed their fifth straight loss.“The third period was pretty ugly hockey,” said SU head coach Paul Flanagan. “It was like watching paint dry.”In front of a packed crowd for alumni weekend, Syracuse (0-5) faced off against No. 3 Northeastern (3-0) for the second time in two days. In the first two periods, both the Huskies and Orange went back-and-forth, leading to a 4-3 Northeastern advantage heading into the final period. But in the third, the Huskies extended their lead as the Orange scrambled to keep players out of the penalty box.Flanagan likened his team’s play in the third period to figure skaters — his team was slow and a step behind Northeastern for the entire third period. “We have to condition ourselves to play back-to-back games,” Flanagan said.AdvertisementThis is placeholder textIts sluggishness played a part in the seven penalties committed by the Orange. Most were minor stick penalties, like hooking and tripping, leading Syracuse to playing a large chunk of the game with four players on the ice. “You really don’t want to get into that type of play,” said Flanagan. “It’s like a broken record so far this year.”With just under five minutes remaining in the second period, the Huskies scored on a power play and took a 4-3 lead into the second intermission. Sophomore Lauren Bellefontaine tied the game 3-3 in the second, but succumbed along with her teammates to the Huskies third period onslaught. “I think once we got down 4-3 we just stopped skating and we stopped working,” said Bellefontaine. “If we just kept it up I think it would’ve been a totally different game.”This season, the Orange haven’t been overpowered by ranked opponents in the early stages of games. Then, fatigue kicks in, Syracuse commits penalties and struggles to keep pace.Against Clarkson, Boston College, and Northeastern — all top programs out of their conference — Syracuse couldn’t keep up with them at the end of their matchups. They start with penalties, and a lack of energy from load management lead to the close losses, and Syracuse’s early losing streak. The scoring started early in Saturday’s game as SU jumped out to a 1-0 lead with a goal just three minutes into the game. Five minutes later, Northeastern had the lead after scoring two goals in three minutes. Halfway through the first, the Orange tied it at two. However, with just two minutes remaining in the first period, Chloe Aurard scored on the powerplay to give the Huskies the lead going into the intermission.Friday’s game between the two was scoreless until the third period where Northeastern scored the game-winner in the final minutes. Saturday afternoon, the game was again tied. But the high scoring affair to start became one sided, and Syracuse couldn’t hang with the speed and skill of the Huskies in the third period.“The difference from yesterday and today is just the momentum,” said Eastwood. “We had a lot of energy yesterday and once they got up on us in the third period we lost that energy and we lost our legs.”Flanagan said SU needs to find a balance this season or it’ll continue to face the cumulative effect of its problems. Despite the never ending cycle of a season that the players face, Flanagan believes that his team can find a way to get it together.“At the end of the day we’re better for it, so you can’t get disappointed right now,” said Flanagan. “You look at our record you want to get down, but we turn our focus to next Friday night.” Comments
Facebook0Tweet0Pin0 Saint Martin’s University is an independent four-year, coeducational university located on a wooded campus of more than 300 acres in Lacey, Washington. Established in 1895 by the Catholic Order of Saint Benedict, the University is one of 14 Benedictine colleges and universities in the United States and Canada, and the only one west of the Rocky Mountains. Saint Martin’s University prepares students for successful lives through its 23 majors and seven graduate programs spanning the liberal arts, business, education, nursing and engineering. Saint Martin’s welcomes more than 1,100 undergraduate students and 400 graduate students from many ethnic and religious backgrounds to its Lacey campus, and 300 more undergraduate students to its extension campuses located at Joint Base Lewis-McChord and Centralia College. Visit the Saint Martin’s University website at www.stmartin.edu. Submitted by Saint Martin’s UniversityDrawing on Martin Luther King Jr.’s writings and speeches, Michal Honey, Ph.D., will engage the Saint Martin’s community in a discussion exploring new directions to take in the wake of the 2012 elections. Honey’s lecture, “Post-Election 2012: Revisiting Martin Luther King’s Unfinished Agenda,” is the next event in the 2012-13 Robert A. Harvie Social Justice Lecture Series. The lecture will take place at 4 p.m., Friday, Nov. 9, in Harned Hall, room 110, on the Saint Martin’s University campus, 5000 Abbey Way SE. The free event, followed by a book signing and social hour with the author, is open to the public.A former civil rights and civil liberties organizer in the 1970s, Honey holds the Fred T. and Dorothy G. Haley Endowed Professorship in the Humanities at the University of Washington, Tacoma and previously held the university system’s Harry Bridges Chair of Labor Studies. He authored Going Down Jericho Road: The Memphis Strike, Martin Luther King’s Last Campaign, and other books of labor and civil rights history. His Black Workers Remember: An Oral History of Segregation, Unionism, and the Freedom Struggle (1999) received an award from the Southern Historical Association (SHA), among others, and his Southern Labor and Black Civil Rights: Organizing Memphis Workers (1993) won SHA and Organization of American Historian awards. In 1985 Honey won the OAH’s Charles Thomson Prize for his article on white Unionist resistance to the Confederacy. His talks are well known for taking a critical perspective on the past and present, using narrative, images, and song.The Robert A. Harvie Social Justice Lecture Series, now in its seventh year, was created by Saint Martin’s University Associate Professor of Criminal Justice Robert Hauhart, Ph.D., J.D., chair of the University’s Department of Society and Social Justice, to raise awareness of social justice issues within the community and to honor the work of Robert A. Harvie, J.D., former professor and chair of the Department of Criminal Justice at Saint Martin’s.