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In June 2005, Jolin Rigas, the 80-year-old founder and former chief executive officer (CEO) of Adelpkia Communications, was sentenced to 15 years in jail for

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In June 2005, Jolin Rigas, the 80-year-old founder and former chief executive officer (CEO) of Adelpkia Communications, was sentenced to 15 years in jail for defrauding investors and lenders of over a billion dollars. His son, the former chief financial officer ( CFO ), was sentenced to 20 years in jail. To understand the charges, you need to first understand a bit about Adelphia's history Adelphia started as a one-town cable company in 1952 and, at the time the fraud accusations were made public, had grown into the sixthlarpest cable television provider in the country. With the company starting as a family-owned business, Adelphia's operations were always a central part of the personal lives of the Rigas family members. However, the extent to which their personal tives were mixed in with the business activities was never clear to stockholders-at least, not nearly as clear as when they were reported in an article in the August 12. 2002 , issue of Fortune Below the following questions, we present a table from that article, which summarizes how the Rigas family allegedly used over $1.2 billion of Adelphia's money-money that ultimately belonged to Adelphia's stockholders. \begin{tabular}{ll|} \hline Some of the notable ways the Rigas family used Adelphia stocktiolder dollars. \\ \hline On the Recelving End & Who's behind the Entity \\ \hline Dobaire Designs & Adelphia paid this company, owned by Doris Rigas (John's wife), for design \\ WendingCreekFarmsservices. & Adelphia paid Jolin Rigas's farm for lawn care and snowplowing. \end{tabular} Respond to ONE of these - then reply to a classmate. Its OK if they have answered a different question. 1) What is the accounting concept the Rigas Family is accused of violating? How did you come to this conclusion? 2) Based on the information provided in the table of the Family Assets, can you determine which of the family's dealings are clearly inappropriate and which are appropriate

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