Once the company that was famous for great management, Nobel prizes and manufacturing light bulbs, General Electric (NYSE:GE) is staring down a recent report by Harry Markopolos alleging that the company is hiding its financial issues for years and is about to collapse.
Share price of GE tanked as much as 14% upon the release of the report, which Markopolos alleged that GE is committing fraud “bigger than Enron and Worldcom combined”.
Yahoo FinanceIt’s hard to determine who to believe at this point and investors are still unclear what to do with the information. Hence, we are going to go through everything you need to know about these fraud claims and the implications for the market if the report is true after all.
Performing a detailed analysis of the short report is impractical both because of the depth and range of the report, so I shall attempt to
...