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Home » Hacking News » Scott Sullivan gets five years

Scott Sullivan gets five years

by Nikola Strahija on August 13th, 2005 WorldCom's former chief financial officer Scott Sullivan was sentenced to five years in prison for his role in the $11 billion accounting fraud that led to the telecommunication giant's bankruptcy.

Sullivan plead guilty to fraud, conspiracy and filing false financial documents last year and co-operated with prosecutors, a fact which helped him get a reduced sentence.

Sullivan's co-operation included turning against his WorldCom boss, former CEO Bernard Ebbers, who was sentenced to 25 years in jail for fraud. Sullivan was the prosecution's main witness against Ebbers, and the only person who testified that he discussed the WorldCom fraud directly with Ebbers.

The sentencing of Sullivan closes a chapter in the history of WorldCom, which grew into an international communication giant in the 1990s. The WorldCom case revolved around accounting mis-statements that were engineered to bolster the company's share price.

WorldCom, now operating under the name MCI, filed for bankruptcy in July 2002 after disclosing that employees had falsified records to conceal losses and inflate earnings.

During the past week, four other former WorldCom executives have been sentenced. The executives had also co-operated with prosecutors, and received sentences ranging from probation to one year and one day.

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