Worldcom general counsel resigns

Worldcom general counsel Michael Salsbury has resigned together with treasurer Susan Mayer, a day after reports revealed further details of the accounting scandals that have bankrupted the telecoms company.

The reports, which were compiled for the bankruptcy court and the US Securities and Exchange Commission (SEC), excused the legal chief of any financial wrongdoing but lambasted the legal and audit teams for failing to control a corporate culture where acts of wrongdoing were commonplace.

“Worldcom’s legal and audit departments and its internal audit department were not structured in ways that would make them effective as a control of management wrongdoing,” stated the report compiled by William McLucas, former chief of the enforcement division of the SEC.