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The case examines the emergence of Arthur Andersen as one of the leading auditing and consulting firms in the world, on the basis of its emphasis on integrity and ethics in business. The case explains the factors that led to a deterioration in the firm''s culture during the 1990s. It examines Andersen''s role in accounting fraud at Enron, one of its major clients. The case also examines the criminal charges faced by the firm in the Enron case and how the Enron case eventually led to the closure of Andersen. The unethical practices of audit firms in the 1990s are also discussed. The case also takes a look at the various initiatives taken by the government and other regulatory authorities, such as the Securities and Exchange Commission (SEC) and the American Institute of Certified Public Accountants (AICPA), to restore the trust of investors in corporate firms and audit firms in the US. The case is designed to enable students to: (1) study the evolution of a large organisation on the basis of integrity and adherence to professional standards; (2) understand the role played by organisational culture in an organisation''s success (or failure); (3) examine the impact of internal and external factors on the performance of employees and their value system; (4) understand the importance of ethics, integrity and professional standards in the audit business; (5) determine the role and responsibility of auditors; (6) be aware of the unethical practices followed by audit firms and identify the reasons underlying such practices; (7) understand the implications of unethical practices for an organisation''s business, its employees and its future; and (8) examine the initiatives taken by regulatory bodies to improve corporate and audit practices and restore the trust of investors in audit firms. The case is aimed at MBA/PGDBA students, and is intended to be part of the business ethics curriculum. The teaching note does not contain an analysis of the case.