Figures & data
Table 1. This table reports the number of irregularities by year for the period 2004–2018. There are a total of 449 firm-date-regulator observations in the final sample. The source of our data is the Watchout Investor database
Table 2. This table reports the keywords used in classifying charges against the firm into various categories. One case may be classified into multiple categories, depending on the text it contains. The text matching is case-insensitive. “|” signifies logical OR
Table 3. This table reports the cumulative average abnormal returns (CAAR [0, 1]) across the events, grouped by the each of the regulators
Table 4. This table reports the number of cases that fell under each type of charge against firms. One case may be classified into multiple categories, depending on the text it contains
Table 5. This table reports the regression analysis. The dependent variable is the cumulative abnormal returns ((−1)*CAR [0,1]). The negative CAR has been taken for simpler interpretation of the coefficients, i.e., a positive coefficient will indicate a higher and more negative stock price reaction. The coefficients are heteroskedasticity robust