TYCO
Contents
3About TYCO �
5The Fraud �
6The Rise of TYCO �
7The Fall of Tyco 2002 �
8Executive' lavish lives �
10Discovery of the fraud �
11Tyco investigation Timeline �
12Charges laid: �
13A different kind of corruption case �
14Ethical and Legal issues at Tyco �
15Theory Applicable: �
16Rebuilding Tyco �
18Lessons Learnt �
19Conclusion �
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About TYCO
Tyco International is a diversified, global company that provides vital products and services to customers in more than 60 countries around the world. Tyco is a leading provider of security products and services, fire protection and detection products and services, and industrial valves and controls. Tyco International Ltd. was founded in 1960 by Arthur J. Rosenburg.
With 2011 revenue of more than $17 billion, Tyco employs approximately 100,000 people across three business segments: Security Solutions, Fire Protection and Flow Control. Since 1986, Tyco has claimed over 40 major acquisitions as well as many minor acquisitions.
Gravity Room
Crystalline Glazed Bowl
Figure 1Kozlowski a long-time Tyco employee, starting in 1976 as an internal auditor, worked his way up to CEO in 1992. With Kozlowski at the helm, Tyco massively expanded during the late 1990s. He became the chair of the board in 1993. He diversified the company, branching into health care.
Tyco was affected by corporate scandal in 2002 when members of the company's management used company's money improperly. Tyco's then CEO was convicted in 2005 on 22 of the 23 counts he faced
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The Fraud
The company, Tyco manufactured a wide variety of products, from electronic components to healthcare products .The conglomerate operated in over a 240,000 people. During 2002, exchange and securities commission began an investigation at Tyco's top executives. Inquiry into the accuracy of the company's book began in January. As investigation continued, it uncovered that Dennis Dozlowski, Tyco...