The effects of fraud and lawsuit revelation on U.S. executive turnover and compensation

Journal of Business Ethics

Volumn 64, Issue 4, 2006, Pages 405-419

  Persons, Obeua S ^a  

^a RIDER UNIVERSITY   (United States)

Author keywords

Board of directors; Corporate governance; Ethical standards; Executive compensation; Executive turnover; Fraud; Lawsuit

Indexed keywords

EID: 33644977318     PISSN: 01674544     EISSN: 15730697     Source Type: Journal    
DOI: 10.1007/s10551-006-0018-1     Document Type: Article

References (26)

1. Agrawal, A., J. Jaffe and J. Karpoff: 1999, 'Management Turnover and Governance Changes Following the Revelation of Fraud', Journal of Law and Economics 37, 309-342.
2. Alexander, C.: 1999, 'On the Nature of the Reputational Penalty for Corporate Crime: Evidence', Journal of Law and Economics 42, 489-526.
3. Beasley, M. S.: 1996, 'An Empirical Analysis of the Relation Between the Board of Director Composition and Financial Statement Fraud', The Accounting Review 7, 443-465.
4. Bhagat, S., J. Bizjak and J. Coles: 1998, 'The Shareholder Wealth Implication of Corporate Lawsuits', Financial Management 27, 5-27.
5. Brunelllo, G., C. Graziano and B. Parigi: 2003, 'CEO Turnover in Inside-Dominated Boards: The Italian Case', Journal of Banking and Finance 27, 1027-1051.
6. Conger, J., A. Finegold and E. Lawler, III: 1998, 'Appraising Boardroom Performance', Harvard Business Review 76, 136-148.
7. Conyon, M. and S. Peck: 1998, 'Board Control, Remuneration Committee, and Top Management Compensation', Academy of Management Journal 41, 146-157.
8. Crystal, G. S.: 1991, 'Why CEO Compensation is So High?', California Management Review 34, 9-29.
9. Dechow, P. M., R. G. Sloan and A. P. Sweeney: 1996, 'Causes and Consequences of Earnings Manipulation: An Analysis of Firms Subject to Enforcement Actions by the SEC', Contemporary Accounting Research 13, 1-36.
10. Gibson, M. S.: 2003, 'Is Corporate Governance Ineffective in Emerging Markets?', Journal of Financial and Quantitative Analysis 38, 231-250.
11. Hermalin, B. and M. S. Weisbach: 1988, 'The Determinants of Board Composition', The Rand Journal of Economics 19, 589-606.
12. Hill, W. and P. Phan: 1991, 'CEO Tenure as a Determinant of CEO Pay', Academy of Management Journal 34, 707-717.
13. Jensen, M.: 1993, 'The Modern Industrial Revolution, Exit, and Failure of Internal Control Systems', Journal of Finance 48, 831-880.
14. Kaplan, S. N.: 1994, 'Top Executive Reward and Firm Performance: A Comparison of Japan and the United States', Journal of Political Economy 102, 510-546.
15. Karpoff, J. and J. Lott: 1993, 'The Reputational Penalty Firms Bear From Committing Criminal Fraud', Journal of Law and Economics 36, 757-802.
16. Kim, Y. and K. Ryu: 1998, 'Duration Analysis of CEO Turnovers Using Proportional Model', Seoul Journal of Economics 11, 243-269.
17. Klein, B. and K. Leffler: 1981, 'The Role of Market Forces in Assuring Contractual Performance', Journal of Political Economy 89, 615-641.
18. Lambert, R. and D. Larcker: 1987, 'An Analysis of the Use of Accounting and Market Measures of Performance in Executive Compensation Contracts', Journal of Accounting Research 25, 85-125.
19. Lausten, M.: 2002, 'CEO Turnover, Firm Performance and Corporate Governance: Empirical Evidence on Danish Firms', International Journal of Industrial Organization 20, 391-414.
20. Maksimovic, V. and S. Titman: 1991, 'Financial Policy and Reputation for Product Quality', Review of Financial Studies 4, 175-200.
21. Maddala, G. S.: 1991. 'A Perspective on the Use of Limited-Dependent and Qualitative Variables Models in Accounting Research', The Accounting Review 66, 788-807.
22. Niehaus, G. and G. Roth: 1999, 'Insider Trading, Equity Issues, and CEO Turnover in Finns Subject to Securities Class Action', Financial Management 28, 52-72.
23. Steiner, I. D.: 1972, Group Process and Productivity (Academic Press, New York, NY).
24. Stone, M. and J. Rasp: 1991, 'Tradeoffs in the Choice Between Logt and OLS for Accounting Choice Studies', The Accounting Review 66, 170-187.
25. Warner, J., R. Watts and K. Wruck: 1988, 'Stock Prices and Top Management Changes', Journal of Financial Economics 20, 461-492.
26. Weisbach, M. S.: 1988, 'Outside Directors and CEO Turnover', Journal of Financial Economics 20, 431-460.