City often uses BofA Aug 24, 2008
San Diego chose the bank for eight of the 12 private loans that it was forced to take out after serious accounting problems blocked access to the cheaper borrowing of the public bond market five years ago. No other commercial or investment bank was selected more than once for the city's private borrowing. (San Diego Union-Tribune)
Constellation's Accounting Is Out Of This World Aug 14, 2008
In explaining the downgrade, Sit analyst Aneesh Prabhu said that the accounting problem was not the only reason for the revision. "In addition, the growing scope of riskier unregulated activities, a financial profile that has improved but still lags our expectations, and the likelihood that the company's discretionary cash flow position will remain negative through 2009 contributed to a downgrade," he said. (Forbes -- Markets)
Krispy Kreme to open 20 stores in Malaysia Aug 9, 2008
While it experienced early success, the doughnut maker has struggled with accounting problems, diet trends and other issues. Shares were up 2. (Raleigh Triangle Business Journal, NC)
Metal Bender With a Modern Mission Aug 7, 2008
5-million investor lawsuit stemming from accounting problems in 2005 and '06. In addition, it plans to divest some U.S. assets after unsuccessfully appealing a government antitrust ruling. (SmartMoney)
Fairfax Financial Says IRS Closed Tax Returns Examination Without Changes Jul 31, 2008
It said Fairfax sued the hedge funds to deflect scrutiny of its accounting problems. The New Jersey case is pending. (Bloomberg -- Canada)
West Penn bond rating downgraded Jul 30, 2008
As a result of the accounting problem, the health system said in a prepared statement on Monday, the system expects to show substantial operating losses. West Penn Allegheny is in the process of determining the portion of the adjustment that pertains to fiscal periods before 2008 and the adjustment significantly lowers previously reported profitability and debt service coverage figures for the fiscal year just ended as well as earlier years. (Pittsburgh Business Times, PA)
How America's Kitchen went from hot to burned Jul 22, 2008
He takes responsibility for buying the bakeries, but he said accounting problems led to financial blind spots. "We really didn't figure out where we were bleeding until March," he said. (Atlanta Journal-Constitution -- Business)
SunOpta profit hit by setback in berry division Jul 22, 2008
Troubled organic food distributor SunOpta Inc. unveiled its delayed 2007 financial results yesterday, and they show a dramatic drop in profit caused by the inventory accounting problem in its berry division that bruised its share price earlier this year. The company gleaned a small profit of $407,000 (U.S.) in 2007, compared with $11-million in 2006. (Globe and Mail)
Patents: The New Class Action Frontier? Jul 19, 2008
With a recent dip in accounting problems to sue over, plaintiffs lawyers may be looking more closely at how companies are disclosing the risks related to their patents, Shapiro said. "In the absence of accounting problems and earning problems, the plaintiffs have to look elsewhere," he said. (Law.com)
New financial world dawns Jul 15, 2008
Unfortunately, FNMA - I dont know if this is true of FHLMC, but I think it is - ran into an Enron-like accounting problem with FAS 133 and maybe a couple of other FASs, a gross overstatement of income that conveniently benefited the compensations of the top managers. But traditionally both FNMA and FHLMC are run by toadies of the democrats. (Atlanta Journal-Constitution)
Fresh slate of auditors launches work in Westbrook Jul 15, 2008
Kostin, Ruffkess who had conducted the town's audits for the past several years, noted in their audits a pattern of accounting problems they attributed to staff shortages. The firm repeatedly urged the town to hire a full-time finance director to handle the growing town budget. (Middletown Press, CT)
Richard James urges city 'to do what's right' Jul 13, 2008
" James had 29 years to fix these traditions and processes. Now he urges the city to do whats right. What exactly is right after this long fiasco in which Briggs, Litfin, Curtis and our police department have been dragged through the mud? At this point, everyone including council members Morton and Klein looks guilty of something. Although Briggs was obviously careless with money, it would have been less traumatic for her and her many admirers to let her retire. Her managers are as... (Palo Alto Online, CA)
Dellums Called Too Tentative Jul 5, 2008
On Thursday, De La Fuente said he would support the policy to include the City Council - a place with its own accounting problems. A day earlier, Oakland City Attorney John Russo vowed he would not relinquish a dime of taxpayer dollars to settle any legal claim brought by Edgerly. (San Francisco Chronicle -- Politics)
SunOpta shares dive on news of departures Jun 28, 2008
The company, beset by an inventory accounting problem and a resultant slew of investor lawsuits, said chief executive officer Steve Bromley and chief financial officer John Dietrich will be "transitioning" from their jobs by the end of the year. Mr. Bromley will stay on the board of directors, but only until next year's annual meeting. (Globe and Mail -- Business)
Pak fleecing US in war on terror Jun 26, 2008
The report said that more than a third of US funds provided to Pakistan after 9/11 were subject to accounting problems, including duplication and possible fraud. Pakistan is the largest recipient of the so-called Coalition Support Funds that the Bush administration launched in 2001, receiving more than $5. (India Times, India)
Hamilton County Engineer reveals fund misuse, audit Jun 21, 2008
The said Friday that it has discovered an accounting problem that likely points to misuse of funds. The problem has to do with escrow accounting, the office said it a news release. (Cincinnati Business Courier, OH)
Navistar makes CFO new chief risk officer Jun 20, 2008
The company has been delinquent with reports for more than two years since the discovery of widespread accounting problems forced it to embark on a multiyear restatement of its financial results. You May Also Like. (Crain's Chicago Business)
Leap Wireless names Berger as CFO Jun 19, 2008
In the interim, accounting problems forced the company to restate financial results for 2004 through the first half of 2007. The changes reduced operating income by $22. (San Diego Union-Tribune -- Business)
Landmark Cobell trial wraps up first week Jun 15, 2008
He told the court he read up to 150 reports that outline historical accounting problems in the IIM accounts. He described how government-managed accounts allowed for release of IIM money without authority, how it went to the wrong people and how it was stolen. (Bismarck Tribune, ND)
OBAMA'S SPECIAL INTEREST DOUBLE STANDARD: Now That Jim Johnson Has Resigned, Will Obama Match Rhetoric With Action? Jun 12, 2008
"Regulators, who say they requested and never received a formal revised plan, closed the institution late ... saying it was critically undercapitalized, suffering from loan losses, accounting problems and poor oversight by its board." (Melissa Allison, "Blame Flies Over Demise Of Superior," Chicago Tribune, 7/31/01) After Superior Bank Failed, The Federal Deposit Insurance Corp. Took Control Of The Bank. "The bank reopened...as Superior Federal FSB under the control of the Federal Deposit... (PR Newswire)
Filling the doughnut hole Jun 12, 2008
Then, accounting problems turned up. Top executives were forced out. (Pittsburgh Post-Gazette, PA)
Krispy Kreme swings to gain; shares advance Jun 10, 2008
They have fallen 90 percent over the past five years amid slowing sales and accounting problems. Latest News. (Charlotte Business Journal, NC)
Sky Exposes The Dodgy Mortgage 'Deals' May 27, 2008
On his website Sam Ratnam boasts that he is "committed to solve any financial and accounting problem" and within minutes he'd solved ours. "Let's say you're earning 60K", he told us. (Sky News)
Texas bank in trouble despite founder's warning on housing collapse May 22, 2008
In mid-February, however, Franklin's board was alerted to accounting problems, and its audit committee hired an outside law firm, Baker Botts, to conduct an investigation. A vague summary of the report's findings, released on Monday, said "a number of accounting errors" were identified after a review of only a narrow swath of Franklin's mortgage loan portfolio. (International Herald Tribune -- Business)
Audit of animal shelter turns up accounting problems May 17, 2008
New blogs every week. New galleries every week. (Florida Times-Union)
Pols, Dormer Butt Heads Over SCPD Funding May 15, 2008
"This is an accounting problem," Romaine said. "If that's the way it should be done, fine ... but he didn't even bother to come to the Legislature ... I'm going to ask the [county] comptroller to do an audit of the headquarters fund to make sure all the charges are appropriate." When asked if he thought this move was in response to a lawsuit he and Suffolk County Legislator Jay Schneiderman (R-Sag Harbor) had filed asking for village and East End town police departments to get their fair share... (Suffolk Life Newspapers, NY)
Escondido Shelter To Lose Funding Apr 18, 2008
Meanwhile, Sister Claire Frawley insists accounting problems are being fixed. "I did it for three years without a penny; I had no salary. If it takes going without salary again, I will," Frawley said. (TheSanDiegoChannel.com, CA)
County Ends Contracts With Women's Shelter Apr 17, 2008
Sister Claire Frawley, who founded the agency in 1983, says county officials exaggerated the financial woes and insists accounting problems are being fixed. St. Clare's has been forced to lay off caseworkers and to eliminate its substance abuse program because the county has pulled out. (NBCSandiego.com, CA)
ESCONDIDO: County terminates contracts with St. Clare's Apr 16, 2008
She also said that St. Clare's was on the way to fixing some accounting problems discovered during the previous audit in 2006. The lost contracts have prompted St. Clare's to lay off case workers and to eliminate its program geared for people suffering from alcohol and drug addiction, but Frawley balked at speculation that losing the county contracts would cripple St. Clare's. (North County Times)
County ends contracts with Escondido homeless care nonprofit Apr 16, 2008
Sister Claire Frawley, who founded the agency in 1983, says county officials exaggerated the financial woes and insists accounting problems are being fixed. St. Clare's has been forced to lay off case workers and to eliminate its substance abuse program because the county has pulled out. (Fresno Bee -- State)
Fight over Countrywide CEO shows board's role Apr 10, 2008
By Greg Farrell, USA TODAY When a company's chief financial officer has an accounting problem, he or she can turn to the outside auditors for advice. But when a board's compensation committee seeks help in creating a CEO compensation package, it's not as easy. (USA Today -- Money)
Online accounting with KashFlow Mar 27, 2008
Hopefully the VAT accounting problem I mentioned will be rectified in the near future. Until then I would highly recommend KashFlow for non-VAT registered businesses as an easy to use system. (Accounting Web, UK)
More of this story Mar 21, 2008
In meetings held over the past month between parks commissioners and the mayor, commissioners have agreed, informally, to correct the accounting problems. In one instance, parks employees were being paid 110 each time they worked after-hours to clean a parks building after an event. (Pine Bluff Commercial, AR)
Questions raised about military vehicle plant in Person County Mar 21, 2008
But Force Protection has faced accounting problems, shareholder lawsuits and a loss of market share. The company started construction in December and was supposed to create 270 jobs. (The Daily Reflector)
Cardinal State shareholders approve Yadkin Valley deal Mar 21, 2008
The merger, originally slated to close in December, was delayed by accounting problems. In other developments, a year-end audit prompted Yadkin Valley to more than double the funds it set aside to cover loan losses. (Charlotte Business Journal, NC)
In a risky move, U.S. moves to free up funds for homeowners Mar 20, 2008
But after significant accounting problems in recent years, the companies were required to hold 30 percent more capital than the minimum previously required, in effect capping their ability to purchase mortgages at an inopportune time. Multimedia. (International Herald Tribune -- Business)
New Fannie, Freddie rules: $200B for mortgages Mar 20, 2008
Both firms have been working in recent years to clean up accounting problems. During that process, OFHEO has been requiring them to keep 30% extra capital in reserve. (Yahoo News -- Real Estate)
Navistar predicts truck sales will bounce back later this year Mar 19, 2008
A host of accounting problems forced the company to embark on a multi-year restatement of results. Its inability to keep up with quarterly and annual filings caused its stock to be removed from the New York Stock Exchange last year. (Crain's Chicago Business)
Heard off the street: Sometimes, bookkeeping problems just won't go away Mar 9, 2008
Less than two years after Michael Baker Corp. [Ticker: BKR] cleaned up accounting problems that forced it to restate results as far back as 2001, the Moon engineering and energy services firm's auditors have discovered new problems with the company's bookkeeping. The revelation has battered Baker's shares, which rose 81 percent last year on reports of the sale of the energy business and a potential merger or acquisition. (Pittsburgh Post-Gazette, PA)
Alleged fraud slows light project Mar 8, 2008
LIGHTS: Internal accounting problems at J munications, the firm in charge of the stoplight construction along Taylor s Main Street, has led to delays in the project s completion ... Internal accounting problems at J munications, the firm in charge of the stop light construction along Taylor's Main Street, has led to delays in the project's completion. (Taylor Daily Press, TX)
Force Protection hires new managers after accounting woes surface Mar 4, 2008
COLUMBIA (AP) -- Armored vehicle maker Force Protection Inc. shuffled management Monday, just three days after telling shareholders it had major accounting problems tied to recording inventory. Force Protection shares were down 13 percent in Nasdaq trading Monday, off 53 cents at $3. (Orangeburg Times and Democrat, SC)
Investors hope Fannie and Freddie can stop slump Feb 28, 2008
But their ability to expand and provide liquidity to the markets has been restricted by losses that have cut into their capital and regulatory constraints imposed on them for past accounting problems. The lifting of caps on the size of their portfolios has raised hopes but analysts say the GSEs will need to tread carefully between expansion and exposing themselves to more losses. (FT.com -- Markets)
Matt Krantz on stocks Feb 25, 2008
My previous columns discuss the company's long-struggling stock, its bout with accounting problems and general competitive problems in an extremely crowded industry. But, it's been two years since we've run the stock through the four steps we consider here. (USA Today -- Money)
Don't Flunk The Class Feb 22, 2008
The article gets into a fair amount of detail about the specific accounting problems associated with these reverse merger situations, but the bottom line of the piece is to beware when these Chinese companies become public in the United States through reverse mergers. Their accounting can be murky, and conflicts of interest abound. (Human Events Online)
State ends AFL-CIO job retraining program Feb 12, 2008
Because of past AFL-CIO accounting problems, Kelly said the Labor Department retained an additional 612,000 to serve as the program's bank account, paying the bills for the retraining costs submitted by the AFL-CIO staff. The entire 1. (Missoulian, MT)
Madison's Taxing Problem Feb 7, 2008
Although tax cancellations for 2007 are just under 100,000 out of more than 9 million in tax collected, the amount further affects a county's budget that was already tight due to a previous accounting problem. If the overdue property assessments aren't completed by July, the state may freeze sales tax money the county is scheduled to receive. (Rexburg Standard Journal, ID)
Under a Microscope Feb 1, 2008
Writing to the SEC on Sept. 6, the company said it expected to still be working to fix its accounting problems through the end of 2007, while expressing the belief that any undetected errors didn't exceed 5% of its pretax income. 1 2 Next Page. (SmartMoney)
GOP resistance to raising loan limits Jan 26, 2008
"Doing so in the absence of such a process enables thinly capitalized entities with recent accounting problems to provide a high-risk benefit to the wealthiest Americans without any real consideration of the need to do so or of the risks it presents to the taxpayer," Shelby spokesman Jonathan Graffeo said in an e-mail. Sen. (San Francisco Chronicle -- Business)
Huckabee Lends His Halo to a Strange Penny Stock: Jonathan Weil Jan 16, 2008
It's on its way,'' said Nazem, who heads a New York investment firm, Nazem & Co., and was a longtime director at Oxford Health Plans Inc. when he stepped in briefly as chairman in 1998 after Oxford disclosed accounting problems. Nazem said he didn't know the details of Huckabee's option grants. (Bloomberg -- Columnists)
Krispy Kreme details CEO severance package Jan 10, 2008
Brewster joined Winston-Salem-based Krispy Kreme in March 2006 as part of an effort to turn around the beleaguered company, which has suffered from slumping sales, accounting problems and a lagging stock price. The company reported a net loss of $798,000, or 1 cent per share, for its third fiscal quarter of 2008, which ended Oct. 28. (Business Journal of the Greater Triad Area)
Microsoft Bids $1.2B for Norway's Fast Jan 9, 2008
In 2007, Fast's share price sank after accounting problems and a restructuring that took a big bite out of earnings. In the third quarter, Fast posted a loss of more than $100 million. (ABC News -- Wire)
Believe him? Jan 8, 2008
Mayor Campbell operated a scam for years and not a word from the press, even as one of its kind was having an affair with the crook in Chicago; we have a war in Iraq that is loaded with serious accounting problems that barely reaches the radar and corporate America pretty well runs Washington. I can remember a press that discovered Watergate, stopped Viet Nam, and chased the President of the United States out of office. (Atlanta Journal-Constitution)
Lake Worth probe urged in no-bid project Jan 8, 2008
The payments were brought to light at a February 2007 meeting of the city commission, where former Finance Director Anne Costello told commissioners that the landfill issue revealed deep accounting problems. Former Public Works Director Mike Frey, who was on medical leave for a heart bypass operation in 2006, resigned days later. (The Palm Beach Post)
• Unusual Trial Embroils Insurers Jan 6, 2008
Shortly after, AIG, citing those and other accounting problems, restated financial results for five years, cutting the company's net worth by $2. 26 billion and lowering profits nearly $4 billion for the period. (FOX61, CT)
FAMU president faces cheating scandal Jan 2, 2008
State audits kept reporting accounting problems. Interim presidents kept coming and going. (Florida Times-Union)
Daily Briefing Jan 1, 2008
President Hugo Chavez's government says the new currency - dubbed the "strong bolivar" - will make daily transactions easier and cure some accounting problems. "We're ending a historical cycle of ... instability in prices," Finance Minister Rodrigo Cabezas said Monday, adding that the change aims to "recover a bolivar that has significant buying capacity.". (Atlanta Journal-Constitution -- Business)
Fannie Mae and Freddie Mac capitalize in 3Q Dec 28, 2007
The Ofheo-directed capital requirement for Fannie Mae, which takes into account a higher requirement stemming from the company's past accounting problems, was $39. 4 billion. (AZCentral -- Business)
GM tentatively agrees to sell medium-duty truck unit to Navistar, no terms disclosed Dec 21, 2007
For Navistar, which has faced years of accounting problems, the agreement would advance its strategy to build scale and cut costs ... Until October, the company had not reported financial results for more than two years because of accounting problems. (San Diego Union-Tribune -- Business)
Navistar sued by 2 Massachusetts retirement funds Dec 19, 2007
(Crain's) - A pair of Massachusetts retirement funds is suing top executives of truckmaker for allegedly misleading shareholders about the extent of the companys accounting problems. The Norfolk County Retirement System and the Brockton Contributory Retirement System say in a suit filed on behalf of shareholders that CEO Daniel Ustian, former Chief Financial Officer Robert Lannert, former Controller Robert Schwetschenau and the companys auditor, Deloitte e LLP, committed securities fraud from... (Crain's Chicago Business)
19 comments Dec 19, 2007
The Cobell v. Kempthorne case going into it 11th year of litigation clearly shows there is an accounting problem in the federal Bureau of Indian Affairs who is charged with the responsibility of maintaining the ledgers for revenue distribution. Question #2: Why isnt the Bureau of Indian Affairs able to account for billions of dollars. (Human Events Online)
Ace finalizing plan to rectify accounting error Dec 18, 2007
Management, he said, accepts blame for the accounting problems. "Frankly, it's embarassing," he said on the conference call. (Crain's Chicago Business)
Debt crunch will hurt results, PNC says Dec 13, 2007
A local analyst said the surprise announcement -- it was only a month ago that PNC Financial Services Group assured investors that its estimates were on track -- should not damage the reputation of Chief Executive Officer James Rohr, who worked hard to bring PNC back from accounting problems and regulatory scrutiny earlier this decade. "I don't think it affects [Mr. Rohr's] credibility," said Malcolm Polley, president and chief investment officer of Stewart Capital Advisors LLC, an investment... (Pittsburgh Post-Gazette, PA)
Navistar posts $139-mil. profit for restated fiscal 2005 Dec 11, 2007
Until October, the Warrenville-based company had not reported financial results for more than two years because of accounting problems. It was delisted by the New York Stock Exchange in February. (Crain's Chicago Business)
$400 million UnitedHealth settlement gives forlorn class of lawsuits new luster Dec 10, 2007
That would have given him the ability to pick the best possible price for his options, creating legal and accounting problems and costing shareholders more. A "special litigation committee" of two former state Supreme Court justices spent more than a year investigating and conducted 50 interviews. (North County Times)
A Snag in Apparel Sales Dec 5, 2007
The company, which has cleaned up an accounting problem, is expanding its store base, and its shares are up 12% this year, to 17 a bright spot in the apparel landscape. Two years ago, New Orleans was under water, gasoline was above $3 and plunging consumer confidence led retail experts to forecast "the worst holiday sales in years." My research suggested otherwise, and sales in fact rose 7. (SmartMoney)
