Back to Blog
![]() ![]() A Parliamentary inquiry revealed fraud among members of the government, including the Conservative Party Chancellor of the Exchequer John Aislabie, who was sent to prison. ![]() A speculative bubble saw the share price reach over £1000 in August 1720, but then crash in September. ![]() In fact, barely any trade took place as Spain renounced the Treaty, however this was concealed on the British stock market. A speculative bubble grew and then collapsed, and Law was expelled.Īfter the War of Spanish Succession, Great Britain signed the Treaty of Utrecht 1713 with Spain, ostensibly allowing it to trade in the seas near South America. He marketed shares based on great wealth, which was highly exaggerated. Scottish economist John Law convinced the French government to support a monopoly trade venture in Louisiana. Owned by the Medici family, it ran up large debts due to the family's profligate spending, extravagant lifestyle, and failure to control the managers, their bank went insolvent. The following list of corporations involved major collapses, through the risk of job losses or size of the business, and meant entering into insolvency or bankruptcy, or being nationalised or requiring a non-market loan by a government. Many recent corporate collapses and scandals have involved false or inappropriate accounting of some sort (see list at accounting scandals). A corporate scandal involves alleged or actual unethical behavior by people acting within or on behalf of a corporation. A corporate collapse typically involves the insolvency or bankruptcy of a major business enterprise. ![]()
0 Comments
Read More
Leave a Reply. |