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Case Study

Barings collapse (B): Failures in control and information use

By Stewart Hamilton, Donald A. Marchand and Alicia Micklethwait

16 pages

March 1996

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Reference: IMD-1-0156

Designed to follow on from “The Barings Collapse (A)”, the case describes how Leeson concealed his unauthorised trading activities, how Barings blindly financed them and how the internal and external controls failed to identify the mounting losses. The case identifies areas of poor internal control inadequate computer systems and breakdown in information flow. The failure of internal and external audit and regulatory systems is also discussed.

Keywords

Control, Information Flow, Audit, Banking

Settings

United Kingdom
1995

Type

Published Sources

Available Languages

English

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This case study is part of a series

Barings collapse (A): Breakdowns in organizational culture & management
Barings collapse (B): Failures in control and information use

This case study is part of a series

Barings collapse (A): Breakdowns in organizational culture & management
Barings collapse (B): Failures in control and information use

Barings collapse (A): Breakdowns in organizational culture & management

By Stewart Hamilton Donald A. Marchand and Alicia Micklethwait
Case reference: IMD-1-0155 ©1996

Summary

This case is designed to give an overview of the collapse of a prestigious financial institution and the organizational failings that contributed t...

1999 ECCH AWARD WINNER (Finance)

Reference IMD-1-0155

Available Languages English

Contact

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Related topics

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Barings collapse (B): Failures in control and information use

By Stewart Hamilton Donald A. Marchand and Alicia Micklethwait
Case reference: IMD-1-0156 ©1996

Summary

Designed to follow on from "The Barings Collapse (A)", the case describes how Leeson concealed his unauthorised trading activities, how Barings bli...

Reference IMD-1-0156

Available Languages English

Contact

Research Information & Knowledge Hub for additional information on IMD publications

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