Sunday, October 5, 2008

Toothless SEC-9

"BeazerHomes USA Inc. has settled charges by the [SEC] that it improperly set aside money during the housing boom to smooth over losses in the downturn. ... The SEC didn't impose fines or other sanctions against Beazer, but its investigation into employees who may have been involved in the improper accounting is continuing. Beazer said it didn't admit or deny the SEC charges related to the accounting irregularities", my emphasis, Michael Corkery at the WSJ, 25 September 2008.

Another SEC enforcement triumph. Well Mark Olson, did the PCAOB already start investigating Deloitte & Touche's "audits" which apparently failed to detect this problem? If not, why not?

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