In 2002, WorldComm was exposed for having committed one of the largest accounting frauds in history, which resulted in the loss of billions of dollars for investors and creditors. The scandal led to the resignation of WorldComm's CEO, Bernard Ebbers, and the eventual dissolution of the company.
WorldComm's collapse had a significant impact on the telecommunications industry and the broader U.S. economy. It also led to increased scrutiny of corporate accounting practices and resulted in the passage of the Sarbanes-Oxley Act of 2002, which set stricter regulations for public companies.