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The Enron Scandal that took place in 2001 led to the dissolution of the energy giant Enron and its firm of auditors Arthur Andersen. The

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The Enron Scandal that took place in 2001 led to the dissolution of the energy giant Enron and its firm of auditors Arthur Andersen. The events eventually brought about the passing of the Sarbanes Oxley Act 2002 in the USA, to protect companies' shareholders from fraudulent financial practices'. In summary, the fraudulent/flawed accounting practices of Enron's auditors and their collusion with the company officers (directors) caused losses to Enron's shareholders as well as their employees. In Malaysia, the case against Transmile Group Berhad was extensively documented in the news especially from year 2007 until 2011. Due to the accounting scandal" the auditors, audit committee and directors have been charged in court for various offences including "furnishing misleading financial statement" and "breach of (directors) duties". Having learnt the lessons from the past, give examples how the provisions in the Companies Act 2016 may protect companies from their officers' (auditors and directors) breach of duty

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