The daughter of a U.S. Senator who chairs the Committee on Commerce Science and Transportation, which has oversight of the Federal Trade Commission (FTC), married a director on the board of a company preparing to initiate an IPO. All the directors and top managers attended the wedding, along with the Senator and her staff. The firm was largely employee-owned with 50% of executive bonuses paid in stock over the years. The firm withheld important information about the difficulty of renegotiating several large government contacts and one week after the wedding, most of the governing board and top managers sold their stock and holdings in the firm at a profit. Several days later, the news of the company losing large government contracts was published and the company lost 75% of its market value. In this instance, the directors failed to carry out their responsibilities in a conscientious manner so that the corporation was not harmed by their actionsnd failed to act with