Agrawal, A.; Jaffe, J.F.; Karpoff, J.M. - Rodney L. White Center for Financial Research, Wharton … - 1998
Anecdotal evidence suggests that top managers of firms that are investigated or charged with criminal fraud lose their … jobs. From a theoretical perspective, it is plausible that fraud scandals create incentives to change managers, in an …, to improve the external monitoring of managers or to rent new directors' valuable reputational or political capital. …