It has been reported that the directors of WorldCom come from different backgrounds. Some had knowledge and experience in business and legal matters, while others were appointed because of their connections to Ebbers (Achraf, 2011). Due to the knowledgeable board and ties to Ebbers, this led to the board's lack of awareness of WorldCom's problems. The board only met 4 times a year, and they were inactive, for a company growing at as fast a rate as it was, this was a mistake. Additionally, directors received a small cash fee as compensation, so stock appreciation was the only form of compensation available. Directors, employees, and management depended on company growth and stock appreciation for their compensation. The board of directors had considerable influence over approving or disapproving company decisions. As a result of their approval of the acquisitions, WorldCom's values ​​rose which led to a rise in the stock price and a significant amount of compensation. Directors then began to depend on this type of massive stock issuance, which not only conveyed an unhealthy practice but also created a conflict of interest where the main objective was to focus more on stock growth rather than the best interests of the company. business (Achraf, 2011). There was another conflict of interest