NORTEL NETWORKSCORP FILES FOR
BANKRUPCTY PROTECTION
Once worth $350 billion with a stock trading at $124 this 113 year old Canadian company now joins the ranks of the mismanaged corporate giants who are victims of their own greed.
In 2004 the US Securities and Exchange Commission alleged accounting fraud which dated back to 2000.
Nortel wound up restating its financials four times since 2003. Shareholder lawsuits and regulatory probes relating to the bookkeeping scandals have cost the company almost $3 billion US.
The company which once was the darling of Canadian industry now has a stock value of 12 cents and most likely will be broken up and sold in parts.
This company has found it very difficult to convince customers they will be around to service their products in the future. Being dishonest and immoral in business may in some cases seem to reward the greedy, but in the end there seems to be a day of reckoning for them all.
Remember Enron?
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