adjustercom.com
adjustercom.net
The Stockwell Firm adjustercom publishes your thoughts and ideas...
Home
News

 Features


Other Claims News
People
Forums
The Comp Examiner Directory
The Liability Adjuster Directory
Service Provider Directory
Post a Job
View Jobs
Resumes
View Resumes
Contact Us

Adjusters Friend

jobs.adjustercom.com

 

Place Your Banner Here With A Click

 

adjustercom.net - FraudFromInsideAndOutsideTheCourtroom

 


Welcome Guest! | Login | Register with adjustercom
 
 
News

News Archive

Email a Friend Email A Friend

More News

March 25, 2024
California Division of Workers' Compensation Posts Adjustments to Official Medical Fee Schedule (Physician Services / Non-Physician Practitioner Services)

March 19, 2024
Nearly half of all litigated workers' compensation claims in the Los Angeles basin are cumulative trauma claims.

March 7, 2024
California's Division of Workers' Compensation Posts Adjustment to Official Medical Fee Schedule (Ambulance Services)

March 6, 2024
Accident Claims The Life of AdminSure Claims Adjuster Alexis Wicker



Arthur Andersen’s Ollie North
By Robert Warne - January 25, 2002

Congressional hearings into Arthur Andersen’s conduct in respects to its relationship with Enron began Jan 24. First up for questioning was David B. Duncan, the Andersen ex-partner in charge of the Enron audit. Without an immunity agreement he did as expected and pled the fifth.

Pennsylvania Representative Jim Greenwood, the chairman of the House Energy and Commerce’s oversight and investigations subcommittee, said, “Mr. Duncan, Enron robbed the bank, Andersen provided the getaway car, and they say you were at the wheel.”

Duncan’s testimony is important to investigators. He is thought to be holding the crucial puzzle pieces that would complete the larger picture of Andersen’s actions as a whole. His side of the story supposedly includes details of what Anderson superiors knew about Enron’s fraudulent accounting practices. Investigators also would like to hear his side of how document shredding was ordered by Andersen superiors after they learned of an imminent Securities and Exchange Commission (SEC) investigation of Enron last fall.

In contrast, Andersen executives have a different recollection of the improprieties surrounding the $50-million-a-year Enron account. Andersen Risk Management Executive Mark B. Zajac’s testimony portrayed Duncan as a rogue accountant who acted on his own accord without seeking legal counsel or advice from superiors. Without immunity, Duncan may never get to defend himself against such charges as he becomes the fall guy for the firm.

Document shredding questions are just the beginning for Andersen, as its reputation as the 5th largest accounting firm is potentially run through the shredder as well.

Andersen’s liabilities are expected to greatly exceed any amount of insurance it might have to settle the massive claims expected from the Enron fall out. Ron Klein, an attorney with Camico—a Redwood City company that provides malpractice insurance for accountants, told the Los Angeles Times that most accounting firms are self-insured. This is due primarily to the lack of coverage available to accounting firms since the savings-and-loan accounting scandals in the early 1990s. The liability insurance available to accounting firms comes with high deductibles and caps on the amount of claims.

Analysts haven’t been at a loss for speculated scenarios of Andersen’s future. Some have said that if the SEC refuses to accept future financial statements from the firm it would go out of business. Others think the current position of Andersen will render the firm for sale before bankruptcy.

With Enron out of cash, analysts envision creditors, shareholders and ex-employees who had their rugs of retirement ripped out from underneath them seeking compensation from Andersen in court. This could drain the firm of funds in endless litigation.

Joseph Berardino, CEO of Arthur Anderson, said on NBC’s “Meet the Press,” that the firm would continue to work with clients and emerge intact. “I don’t think we’re finished at all.”

 
 

 Hot Jobs


Adjuster / Examiner
Claims Examiner
Santa Ana Unified School District
Santa Ana, CA
View All Jobs

The J Morey Company

Build Your Brand

jobs.adjustercom.com

The J Morey Company


    Copyright 2024 | Privacy Policy | Feedback |  

Web site engine's code is Copyright © 2003 by PHP-Nuke. All Rights Reserved. PHP-Nuke is Free Software released under the GNU/GPL license.