While disclosure of the debt information in year 2001, the documents have been shredded by the Andersen which was contained the Anderson’s debt audit of ENRON Company. Commentary on the Enron scandal has tended to focus on a number of financial reporting issues including auditor independence, special purpose entities (SPEs) and the appropriateness of its accounting. Greater shareholders of the ENRON Company hide all the debt documents and created a problem for the financial audit team while announcing the company’s financial statement in year 2001.Shreding the document caused a great problem in identifying the correct information about the fraud done in in company.
This incurred a complete loss for the company’s growth. The top management executives did this fraud which made the problem for the company’s employee and they lose the hope and resigned the Job from the company. Due to this the employee’s count and the overall performance, customer relation got reduced. This was also an important issue in collapsing the company in year 2001 while auditing the company’s financial statement. Thus, the reality of Enron’s business practices flew in the face of its Code of Ethics.