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A corporate collapse typically involves the insolvency or bankruptcy of a major business enterprise. A corporate scandal involves alleged or actual unethical behavior by people acting within or on behalf of a corporation. Many recent corporate collapses and scandals have involved false or inappropriate accounting of some sort (see list at accounting scandals).

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. NameHQDateBusinessCausesAssetsMedici Bank Florenceformat=dmyBankingOwned 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. Mississippi Company Franceformat=dmyColonialismScottish economist John Law convinced the French government to support a monopoly trade venture in Louisiana. He marketed shares based on great wealth, which was highly exaggerated. A speculative bubble grew and then collapsed, and Law was expelled. South Sea Company Great Britainformat=dmySlavery and colonialismAfter 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. In fact, barely any trade took place as Spain renounced the Treaty, however this was concealed on the British stock market. A speculative bubble saw the share price reach over £1000 in August 1720, but then crash in September. 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. Dutch East India Company Batavian Republicformat=dmyColonialismThis huge early publicly listed multinational company founded in 1602 fell victim of declining markets in the late 18th century, internal corruption and excessive distribution of dividends (in excess of its profits), and finally Anglo Dutch wars. It was nationalised by the Batavian Republic in 1796 but nevertheless closed down at the end of 1799. Overend, Gurney & Co United Kingdomformat=dmyBankingAfter Samuel Gurney's retirement, the bank invested heavily in railway stocks. It went public in 1865, but was badly affected by a general fall in stock prices. The Bank of England refused to advance money, and it collapsed. The directors were sued, but exonerated from fraud. Friedrich Krupp Germanyformat=dmySteel, metalsKrupp's business over expanded, and had to take a 30m Mark loan from the Preußische Bank, the Bank of Prussia. Danatbank Germanyformat=dmyBankingAt the start of the Great Depression, after rumours about the solvency of the Norddeutsche Wollkämmerei & Kammgarnspinnerei, there was a bank run, and Danatbank was forced into insolvency. Allied Crude Vegetable Oil Refining Corp United Statesformat=dmyCommoditiesCommodities trader Tino De Angelis defrauded clients, including the Bank of America into thinking he was trading vegetable oil. He got loans and made money using the oil as collateral. He showed inspectors tankers of water, with a bit of oil on the surface. When the fraud was exposed, the business collapsed. Herstatt Bank West Germanyformat=dmyBankingSettlement risk. Counterparty banks did not receive their USD payments, where Herstatt had received DEM earlier, prior to government forced liquidation. Carrian Group Hong Kongformat=dmyReal estateAccounting fraud. An auditor was murdered, an adviser committed suicide. The largest collapse in Hong Kong history. Texaco United Statesformat=dmyOilAfter a legal battle with Pennzoil, whereby it was found to owe a debt of $10.5 bn, Texaco went into bankruptcy. It was later resurrected and taken over by Chevron. Qintex Australiaformat=dmyReal estateQintex CEO Christopher Skase was found to have improperly used his position to obtain management fees prior to the $1.5 billion collapse of Qintex including $700m unpaid debts. Skase absconded to the Spanish resort island of Majorca. Spain refused extradition for 10 years during which time Skase became a citizen of Dominica. Lincoln Savings and Loan Association United Statesformat=dmyBankingFinancial institution that went bust following the Keating Five scandal. Polly Peck United Kingdomformat=dmyElectronics, food, textilesAfter a raid by the UK Serious Fraud Office in September 1990, the share price collapsed. The CEO Asil Nadir was convicted of stealing the company's money. Bank of Credit & Commerce International United Kingdomformat=dmyBankingBreach of US law, by owning another bank. Fraud, money laundering and larceny. Better known as BCCI. Nordbanken Swedenformat=dmyBankingFollowing market deregulation, there was a housing price bubble, and it burst. As part of a general rescue as the Swedish banking crisis unfolded, Nordbanken was nationalised for 64 billion kronor. It was later merged with Götabanken, which itself had to write off 37.3% of its creditors, and is now known as Nordea. Barings Bank United Kingdomformat=dmyBankingAn employee in Singapore, Nick Leeson, traded futures, signed off on his own accounts and became increasingly indebted. The London directors were subsequently disqualified, as being unfit to run a company in Re Barings plc (No 5). Bre X Canadaformat=dmyMiningAfter widespread reports that Bre X had found a gold mine in Indonesia, the stories were found to be fraudulent. Livent Canadaformat=myEntertainmentIn November 1998, Livent sought bankruptcy protection in the US and Canada, claiming a debt of $334 million. Garth Drabinsky, co founder of Livent, was convicted and sentenced to prison for fraud and forgery. A judgment has been obtained against Deloitte & Touche in respect of Deloitte's negligence in conducting the audit for Livent's 1997 fiscal year. Long Term Capital Management United Statesformat=dmyHedge fundAfter purporting to have discovered a scientific method of calculating derivative prices, LTCM lost $4.6bn in the first few months of 1998, and was rescued by a private sector consortium. $3.6 billionFlowTex Germanyformat=dmyMachineryFlowTex operated a Ponzi scheme in which non existing construction equipment was sold to investors in order to immediately be leased back by FlowTex. This required an exponentially growing number of investors to afford the lease payments. The fraud was the largest corporate scandal in German history and caused financial damages of about 4.9bn DM (≈€3.3bn). Equitable Life Assurance Society United Kingdomformat=dmyInsuranceThe insurance company's directors unlawfully used money from people holding guaranteed annuity rate policies to subsidise people with current annuity rate policies. After a House of Lords judgment in Equitable Life Assurance Society v Hyman, the Society closed. Though never technically insolvent, the UK government set up a compensation scheme for policyholders under the Equitable Life (Payments) Act 2010. CINAR CanadaAnimationMicheline Charest and Ronald Weinberg, the co founders of this animation studio, were accused of transferring over $120 million to the Bahamas without the approval of its board of directors. The company was later sold in 2004 to a consortium that includes Nelvana founder Michael Hirsch and was subsequently renamed Cookie Jar Group. Cookie Jar in turn was acquired in 2012 by what is now called WildBrain. In 2016, Weinberg was sentenced to 8 years and 11 months in prison, and is currently on parole. HIH Insurance Australiaformat=dmyInsuranceIn early 2000, after increase in size of the business, it was determined that the insurance company's solvency was marginal, and a small asset price change could see the insurance company become insolvent. It did. Director Rodney Adler, CEO Ray Williams and others were sentenced to prison for fraudulent activity. Pacific Gas & Electric Company United Statesformat=dmyEnergyAfter a change in regulation in California, PG&E determined it was unable to continue delivering power, and despite the California Public Utilities Commission's efforts, it went into bankruptcy, leaving homes without energy. It emerged again in 2004. One. Tel Australiaformat=dmyTelecommsAfter becoming one of the largest Australian public companies, losses of $290m were reported, the share price crashed, and it entered administration. In ASIC v Rich the directors were found not to have been guilty of negligence. Swissair Switzerlandformat=dmyAviationOverexpansion in the late 1990s and the aftermath of the September 11 attacks led to a dramatic fall in share prices. In 2007, several of the company's board members were charged over the airline's bankruptcy. Assets were taken over by subsidiary Crossair which became Swiss International Air Lines, eventually purchased by Lufthansa of Germany. Enron United Statesformat=dmyEnergyDirectors and executives fraudulently concealed large losses in Enron's projects. A number were sentenced to prison. $63.4 billionChiquita Brands Int United Statesformat=dmyFoodAccumulated debts, after a series of accusations relating to breaches of labour and environmental standards. It entered a pre packaged insolvency, and emerged with similar management in 2002. Kmart United Statesformat=dmyRetailAfter difficult competition, the store was put into Chapter 11 bankruptcy proceedings, but soon re emerged. Adelphia Communications United Statesformat=dmyCable televisionInternal corruption. The Directors were sentenced to prison. Arthur Andersen United Statesformat=dmyAccountingA US court convicted Andersen of obstruction of justice by shredding documents relating to the Enron scandal. WorldCom United Statesformat=dmyTelecommsAfter falling share prices, and a failed share buy back scheme, it was found that the directors had used fraudulent accounting methods to push up the stock price. Rebranded MCI, it emerged from bankruptcy in 2004 and the assets were bought by Verizon. Parmalat Italyformat=dmyFoodThe company's finance directors concealed large debts. MG Rover Group United Kingdomformat=dmyAutomobilesAfter diminishing demand, and getting a £6.5m loan from the UK government in April 2005, the company went into administration. After the loss of 30,000 jobs, Nanjing Automobile Group bought the company's assets. Bayou Hedge Fund Group United Statesformat=dmyHedge fundSamuel Israel III defrauded his investors into thinking there were higher returns, and orchestrated fake audits. The Commodity Futures Trading Commission filed a court complaint and the business was shut down after the directors were caught attempting to send $100m into overseas bank accounts. Refco United Statesformat=dmyBrokerAfter becoming a public company in August 2005, it was revealed that Phillip R. Bennett, the company's CEO and chairman, had concealed $430m of bad debts. Its underwriters were Credit Suisse First Boston, Goldman Sachs, and Bank of America Corp. The company entered Chapter 11 and Bennett was sentenced to 16 years in prison. Bear Stearns United Statesformat=dmyBankingBear Stearns invested in the sub prime mortgage market from 2003 after the US government had begun to deregulate consumer protection and derivative trading. The business collapsed as more people began to be unable to meet mortgage obligations. After a stock price high of $172 a share, it was bought by JP Morgan for $2 a share on 16 March 2008, with a $29bn loan facility guaranteed by the US Federal Reserve. Northern Rock United Kingdomformat=dmyBankingNorthern Rock had invested in the international markets for sub prime mortgage debt, and as more and more people defaulted on their home loans in the US, the Rock's business collapsed. It triggered the first bank run in the UK since Overend, Gurney & Co in 1866, when it asked the UK government for assistance. It was nationalised, and then sold to Virgin Money in 2012. IndyMac United Statesformat=dmyBankingIndyMac invested heavily in Alt A mortgages and reverse mortgages. After many of these loans failed and couldn't be sold during the U. S. subprime mortgage crisis the company had to file for Chapter 7 bankruptcy. Lehman Brothers United Statesformat=dmyBankingLehman Brothers' financial strategy in from 2003 was to invest heavily in mortgage debt, in markets which were being deregulated from consumer protection by the US government. Losses mounted, and Lehman Brothers was forced to file for Chapter 11 bankruptcy after the US government refused to extend a loan. The collapse triggered a global financial market meltdown. Barclays, Nomura and Bain Capital purchased the assets which were not indebted. AIGBanco Espírito Santo (BES) Portugalformat=dmyBankingAn audit performed in 2013, for a capital raise performed in May 2014, uncovered severe financial irregularities and a precarious financial situation of the bank. In July 2014, Salgado was replaced by economist Vítor Bento, who saw BES in an irrecoverable situation. Its good assets were bought by Novo Banco, a vehicle founded by Portugal's financial regulators for that purpose, on August 3, which hired Bento as CEO, while its toxic assets stayed in the "old" BES, which got its banking license revoked by Portugal's regulators. Dick Smith Australiaformat=dmyRetailOn 5 January 2016, the retailer collapsed and was placed into receivership. McGrathNicol were appointed as administrators by the company's board and Ferrier Hodgson appointed by the company's major creditors National Australia Bank (NAB) and HSBC Bank Australia. Theranos United Statesformat=dmyHealth careTheranos claimed to have developed devices to automate and miniaturize blood tests using microscopic blood volumes. Theranos dubbed its blood collection vessel the "nanotainer" and its analysis machine the "Edison". Elizabeth Holmes, founder and CEO, reportedly named the device "Edison" after inventor Thomas Edison, stating, "We tried everything else and it failed, so let's call it the Edison." This was likely because of a well known Edison quote: "I've not failed. I've just found 10,000 ways that won't work. "Wirecard Germanyformat=dmyBanking, Money transfer€1.9 billion, which apparently never existed, were found missing in a special audit. The CEO was arrested, the board filed for insolvency, and a warrant for the missing COO was issued. FTX Bahamasformat=dmyCryptocurrency, Cryptocurrency exchangeCEO Sam Bankman Fried resigns and FTX (company) files for Chapter 11 bankruptcy. John J. Ray III, the same attorney who oversaw the liquidation of Enron, is appointed CEO. Silicon Valley Bank (SVB) United StatesMarch 2023BankingSilicon Valley Bank lost money on bonds, prompting a run on the bank. The FDIC placed the bank into receivership, and its US assets were acquired by First Citizens BancShares and its UK assets were acquired by HSBC. Signature Bank United StatesMarch 2023BankingDue to losses and a bank run, prompted by the preceding collapse of Silicon Valley Bank, the FDIC placed the bank into receivership. First Republic Bank United StatesMay 2023BankingDue to a global banking panic, mainly from the preceding collapses of Silicon Valley Bank and Signature Bank, a bank run forced the bank to be placed into receivership by the FDIC and then sold to JPMorgan ChaseSigna Holding AustriaNovember 2023Real EstateThe company collapsed in 2023 with a €23 billion ($25 billion) of insolvencies.