• Archive for the ‘Subprime’ Category

    Will Ernst & Young Ever Be Held Accountable for the Lehman Failure?

    By • Oct 31st, 2010

    I’d be exaggerating if I told you the Lehman bankruptcy examiner’s report, and its scathing indictment of Ernst & Young’s role in the biggest failure on Wall Street, answered my prayers. On the contrary. The more successful a fraud case is against Lehman’s executives, the less likely EY or any of its partners will suffer any consequences for their role in the Lehman fraud.

    Reforming Wall Street: State Regulators Cannot Do It Alone – A Speech By Jake Zamansky

    By • Sep 29th, 2010

    In passing the Dodd-Frank Wall Street Reform and Consumer Protection Act (“Dodd-Frank”), Congress tried — but failed — to make the market fair and more transparent for individual investors. Until the SEC, through its enforcement actions, holds high-ranking corporate executives accountable for their firms’ wrongdoing and ensures that settlement fines do not unjustly harm shareholders, measures to protect investors from Wall Street malfeasance will continue to fall short of the mark. Renowned securities litigator Jake Zamansky spoke recently on these issues to the North American Securities Administrators Association (NASAA) Public Policy Conference.

    McKenna Featured in Three New Videos on The Street.com

    By • Sep 22nd, 2010

    Last week while I was in New York, I had the pleasure of sitting down with Maria Woehr, a Financial Services reporter for The Street.com.  We talked for about a half an hour and she’s produced three videos from that material so far.

    McKenna Linked To In The Times UK

    By • May 20th, 2010

    I was linked to March 23, 2010 in the Times of London UK on the Lehman story as the source for EY’s response to audit committee members regarding the Lehman bankruptcy examiner report. Ernst & Young defended its work in a letter sent by several audit partners to the firm’s key clients and vowed to […]

    re: The Auditors Mentioned In The Columbia Journalism Review

    By • May 1st, 2010

    It’s been my great pleasure to get to know Ryan Chittum, the reporter for the Columbia Journalism Review’s (CJR) The Audit, a blog devoted to the critical look at business journalism. Ryan and I have not yet met in person, but  The Audit is a daily must read. I did have the opportunity to meet […]

    In Pari Delicto: Are Auditors Equally At Fault In The Big Fraud Cases?

    By • Mar 9th, 2010

    The way I see it, the in pari delicto doctrine is being used like a pair of needle nosed pliers by audit firm defense lawyers to diffuse the bomb – huge liability for some of the biggest frauds in history. The in pari delicto doctrine attempts to pull the auditors’ tails from the fire by excusing any of their guilty acts due to the approval of those acts by potentially equally guilty executives.

    KPMG Has A $1 Billion New Century Problem

    By • Apr 2nd, 2009

    KPMG is being sued for $1bn by the liquidators of New Century, the collapsed subprime lender, in the first big case against an auditor arising from the current financial crisis. If the New Century trustee is successful, “it may embolden others to look more closely at the possibility of bringing [accounting] firms to some level of culpability for the things that happened,” that led to the credit crisis, Francine McKenna, president of McKenna Partners LLC, a corporate-governance consultancy, said in an interview in the Wall Street Journal.

    FEI Lists The Top Challenges for 2009 – An Interview With James Abel

    By • Dec 17th, 2008

    Financial Executives International has just released the results of their survey, “2009 Top Challenges for Financial Executives,” and it’s quite interesting to see what a difference a year makes.

    Latest Updates: My Clients Are Failing, My Clients Are Failing

    By • Oct 7th, 2008

    Update: Chicago’s John “Dr. J.” Najarian co-founder of OptionMONSTER on the need for transparency when the assets bought by the US government are eventually sold. On YouTube. Part 2 from Jon Najarian is here.   I have been updating this information throughout the weekend as other banks failed and other deals have been done. A […]

    Alcoa – Let Me Tell You How The Good Guys Do It

    By • Sep 22nd, 2008

    I was in San Francisco September 6-10 for the CFO.com Technology Conference. I’ve already told you the story of how this came to pass. Vinnie Mirchandani is not only smart and good at what he does, he’s a really nice guy. Only thing, Vinnie…Next time stick the GPS device on the dashboard. Watching the driver […]