• Archive for the ‘Subprime’ Category

    Winning! PwC Argues Both Sides Of The Partner Naming Debate

    By • Dec 19th, 2013

    How do the audit firms keep winning the war while losing battles left and right? They use the law and the courts to delay, deter and distract from transparency by settling, and sealing what they can, before the public can find out what silly arguments they often make in their defense.



    Update: Mortgage Servicer Foreclosure Review Process

    By • Dec 27th, 2011

    I was the first to report on December 6 the irony of Deloitte having been selected by, of all banks, JP Morgan Chase. The high likelihood of a conflict between the bank and the audit firm, and possibly the individual Deloitte partners assigned to the JP Morgan Chase review, should have been obvious to anyone at the OCC. It turns out I was right.



    Servicing The Mortgage Industry: An Update

    By • Nov 25th, 2011

    My October 6 column for American Banker was cited by Congresswoman Maxine Waters and others to support the strong management of conflicts of interest by the OCC in the mortgage servicer reviews as well as full disclosure of vendors and their engagement letters with the banks. On November 22, 2011, the Office of the Comptroller of the Currency (OCC) disclosed the names of the consultants, their clients and redacted versions of the engagement letters between the banks and consultants.



    A Closer Look At Clawbacks

    By • Oct 23rd, 2011

    The Sarbanes-Oxley Act of 2002 and Dodd-Frank’s clawback provision both require a restatement. The restatement of financial results to correct material errors – whether those errors occurred by default or by design – is a necessary condition for enforcing both the Sarbanes-Oxley Section 304 provision and the new Dodd-Frank law.



    McKenna Now Writing At American Banker

    By • Sep 16th, 2011

    I’m writing now for American Banker. My first column covers a new appointment at Deloitte and how this might affect the firm’s clients in the mutual funds industry.



    New @Forbes: Bank of America Plays Hide And Seek Using Fannie Mae

    By • Aug 11th, 2011

    Making the non-obvious connections between the audit firms and their clients, between the clients and each other, and between the firms and each other is getting to be like shooting fish in a barrel.



    What Do Bank of America And The Federal Home Loan Banks Have In Common? A Lawsuit & PwC

    By • Jul 25th, 2011

    Have you been following the trials and tribulations of Bank of America and their auditor, PricewaterhouseCoopers, LLP?

    I have.



    Making Mortgage Fraudsters Pay…But Via Private Lawsuits (And Some Attorneys General) Not Law Enforcement

    By • Jul 5th, 2011

    Thank goodness for the plaintiffs’ bar and class action lawsuits. And state attorneys general. Without them, there’d be very little justice yet – or compensation – for any of the mortgage-related fraud perpetrated during the real estate bubble.



    One Of These Things Is Not Like The Others: How Goldman Sachs and Lehman Brothers Hid The Ball From Investors

    By • Jun 20th, 2011

    What’s the difference between Lehman/Hudson Castle – the structured investment vehicle (SIV) mentioned in the New York Times last week – and the SEC fraud charges against Goldman? Aren’t both about disclosure?



    McKenna Quoted in American Banker re: Second-Lien Mortgages

    By • May 8th, 2011

    I was quoted on May 2 in an article in American Banker by Alex Ulam entitled, “Why Second-Lien Loans Remain A Worry”. My quote focused on disclosures and transparency – for the loans and the reserves for losses. It’s a subject I’ve written about extensively.