Twenty years later: Lessons from Enron

On December 2, 2001, Enron Inc., a high-flying energy-trading company based in Houston, Texas, collapsed amid one of the largest cases of accounting fraud in history. Enron’s bankruptcy that day ruined many lives, led to the demise of one of the world’s largest accounting firms, and triggered the most significant changes in the accounting profession in 100 years. This article reviews the root causes of the Enron scandal and outlines some of the biggest lessons learned.

Twenty years later: Lessons from Enron