Jeffrey Skilling played a pivotal role in one of the most infamous corporate frauds. Skilling’s management led to accounting practices that hid billions in debt from failed projects and ventures.
When Enron filed for bankruptcy in 2001, it was the largest in U.S. history at the time. Skilling was sentenced in 2006 to 24 years in prison after being convicted of 19 counts of fraud, insider trading, and other charges.
Denis Kozlowski was synonymous with corporate excess in the early 2000s.
His illegal activities, including unauthorized bonuses and fraudulent stock sales, cost Tyco and its shareholders $600 million.
Convicted in 2005 of grand larceny, securities fraud, and other charges, Kozlowski was sentenced to up to 25 years in prison, his case becoming a key example in discussions about corporate governance.
Through his Stanford Financial Group Allen Stanford defrauded investors of approximately $7 billion.
He used the cash to live a lavish lifestyle, including pumping money into his own cricket team, a sport not massively played in his home state of Texas.
His 110-year prison sentence, handed down in 2012, stands as one of the harshest penalties for financial fraud, reflecting the scale and impact of his crimes on thousands of victims worldwide.
Kumar was at the center of a $2.2 billion accounting fraud scandal.
His efforts to obstruct a federal investigation further compounded his legal troubles.
In 2006, Kumar pleaded guilty and was sentenced to 12 years in prison, underscoring the consequences of manipulating financial records and obstructing justice.
John Rigas, founder and CEO of Adelphia Communications
Rigas was convicted in 2004 after he and his sons embezzled funds and hid debt, leading to one of the largest corporate bankruptcies at the time.
Sentenced to 15 years in prison, Rigas’ case is often cited as a clear example of how personal greed can destroy corporate foundations.
Samuel D. Waksal of ImClone Systems
Samuel D. Waksal was jailed for over seven years after being convicted in 2003.
He attempted to sell his company’s stock based on insider knowledge that a major drug would not be approved by the FDA.
He also involved his friend, TV star Martha Stewart, in the scandal.
Joe Nacchio of Qwest Communications
Nacchio was convicted on 19 counts of insider trading after he illegally sold $52 million in stock, knowing that Qwest would soon face financial difficulties.
Sentenced in 2007 to six years, Nacchio’s case highlighted the dangers of insider trading and the significant penalties that can follow.