Topic > Case Study Adelphia - 735

Due to this lack of monitoring, management continued to be unaware of such transactions which continued to have a negative impact on the company. This provided the Rigas family with many opportunities to ignore controls as the lack of corporate governance allowed the Rigas family to make decisions without oversight. For example, the article “Adelphia Officials Arrested and Charged with 'Massive' Fraud” explains how Timothy Rigas was limited to $1 million a month in compensation withdrawn from the company for personal use. All decisions were continually made by those family members, in which case, for Adelphia, it was the management team. With the lack of controls creating opportunities, they were free to do as they pleased, which they took incredible advantage of