Exploring Corporate Governance Around the World

By Allison Garrett, Senior Vice President for Academic Affairs at Oklahoma Christian University





Tuesday, November 29, 2005

Royal Ahold Settles Class Action for $1.1 Billion

Royal Ahold just agreed to pay $1.1 billion to settle a world-wide class-action lawsuit in the Netherlands stemming from a 2003 accounting scandal. The settlement agreement was submitted to the United States District Court in Baltimore for approval.

Royal Ahold overstated sales of its US subsidiaries by $30 billion over the three-year period leading up to exposure of the fraud.

The link to the New York Times article on the settlement follows: http://www.nytimes.com/2005/11/29/business/worldbusiness/29ahold.html

1 comment:

Brian Fox, CPA said...

Ahold, Parmalat, Kmart, ZZZZ Best. Audit confirmation frauds go all the way back to the 1920's with the first document confirmation fraud at McKesson & Robbins. It took us over 80 years before we created a better process through secure electronic audit confirmations like those at Confirmation.com.