E&Y could the Big 4 reduce to the Big 3?

Published with the Capitalist@Work by City Unslicker on
Friday, March 12, 2010

"E&Y, the global accountancy firm have not come out well of the investigation into the Lehmans debacle. Their Audit for 2007 is under severe questioning as to how the company was allowed to remain a going concern. Lehman itself will see one or two of its exectuvies in Court I would think, the issue of this Repo 105 looks like a tool for accounting fraud of similar nature to what Enron was doing in 2002. In fact, the cases do look similar, no doubt Nick Drew will comment on this later.If E&Y goes the wya of Andersen then we will be left with very few large global accounting firms indeed, just PWC, Deloitte and KPMG.Also it is interesting in reading the various reports how Citi and JP Morgan helped to bring Lehmans down by removing collateral at key times; and people say Wall Street is one big gang....What though it most noticeable it the lack of criticism for the Fed and the the US Government for allowing the regulatory frameowkr and market environment to become so distorted.I really want to see some people in jail for Fraud over this. I don't accept that we can have this huge financial crisis based on such mismanagement and grred and yet no one end up in jail. Same in the UK, it is sad to see hwo due to the complexity of the problem, no prosecutions are being brought."
Posted by CityUnslicker
Labels: Economics, Politics