Texans gunning for Andersen
As if the gunfight at the Houston coral was not enough, now Andersen is firmly in the sights of the Texan accounting authorities, with a $1m dollar bounty on its head.
According to reports, the Texas State Board of Public Accountancy has recommended revoking the firm’s operating licence, accusing it of violating rules in its dealings with collapsed energy trader Enron.
The Board announced that it was seeking at least $1m (£700,000) in fines from the firm, in what would be by far the biggest enforcement action in its history. It is seeking $1,000 from the firm for every perceived violation of its accounting rules – a list that it says could well ‘number into the thousands’.
Andersen, which is already facing a federal trial over its auditing of Enron’s books, said it was regrettable that the board had rushed to such a judgement.