to bther accounting lrms. The evidence presented at trial showed a breakdown in Andersen's internal controls, a lack of teadership, and g an environment in Andersen's Houston office that fostered recklessness and unethical behavior by some partners In 2005, the United States Supreme Court unanimously overturned the Andersen conviction on the grounds that the jury was given overly broad instructions by the federal judge who presided over the case. But by then it was too late. Most of the Andersen partners had either retired or gone to work for former competitors, and the company had all but ceased to exist. DISCUSSION QUESTIONS 1. To what extent do market pressures encourage unethical behavior? Can the demise of Andersen be blamed on the fact that the market began rewarding consulting services of the kind Andersen could provide? 2. How serious are the kinds of conflicts of interest discussed in this case? Did Sarbanes-Oxley eliminate the most serious conflicts? 3. Was it fair for the government to destroy an entire company because of the misdeeds of some of its members, or had Andersen become such a serious offender that such an action on the part of the government was justified? to bther accounting lrms. The evidence presented at trial showed a breakdown in Andersen's internal controls, a lack of teadership, and g an environment in Andersen's Houston office that fostered recklessness and unethical behavior by some partners In 2005, the United States Supreme Court unanimously overturned the Andersen conviction on the grounds that the jury was given overly broad instructions by the federal judge who presided over the case. But by then it was too late. Most of the Andersen partners had either retired or gone to work for former competitors, and the company had all but ceased to exist. DISCUSSION QUESTIONS 1. To what extent do market pressures encourage unethical behavior? Can the demise of Andersen be blamed on the fact that the market began rewarding consulting services of the kind Andersen could provide? 2. How serious are the kinds of conflicts of interest discussed in this case? Did Sarbanes-Oxley eliminate the most serious conflicts? 3. Was it fair for the government to destroy an entire company because of the misdeeds of some of its members, or had Andersen become such a serious offender that such an action on the part of the government was justified