The speech, which follows hot on the heels of the collapse of Andersen and a string of accounting scandals including the WorldCom and Enron debacles, comes as he battles to win back investor and public confidence in corporate America.
Bush said the SEC, the country’s chief financial watchdog, should receive the money to help it hire enforcement officers and to bolster its technology.
At the moment, executives only face civil action for falsifying accounts, but jail sentences in the region of ten years may be introduced.
Bush also called for stronger laws against shredding documents and other forms of obstructing justice, according to reports.
Most recently, WorldCom revealed improper accounting totalling $3.8bn, while America’s third biggest company Enron collapsed after hiding billions in debt.
Similar scandals have rocked Xerox, Global Crossing and Merck.
Does Darwin's theory apply to taxation? Colin ponders...
The EC has been instructed to draft a European Union (EU) directive authorising an EU financial transaction tax, which would apply to ten of the EU’s 28 member states
Accountancy watchdog the FRC has dropped its investigation into the former chief financial officer of Tesco, nearly two years after the supermarket was engulfed in an accounting scandal
Colin imagines how Apple's logo might change in the wake of the EC's ruling over its Irish tax arrangements