17. Tyco International
Year: 2002
Approx. Amount: $600 Million*
Company / Person Involved: Dennis Kozlowski & Mark Swartz
Prior to the scandal that rocked the Tyco International world, the company was a safe bet to invest in as the company was focused on manufacturing health care and safety equipment, as well as electronic components, all of which were in high demand and not looking to cool off anytime soon.
Tyco International ©Michael Nagle / Gettyimages.com
That wasn’t enough for CEO Dennis Kozlowski, or CFO Mark Swartz, who, without shareholder approval, took $170 million in low-to-no interest loans and sold 7.5 million shares of the company for $430 million. The scandal was discovered in the early parts of 2002, and the duo of Swartz and Kozlowski have since been found guilty of almost 30 counts, and have both been given 25-year sentences at the state level.