February 9th, 2006
Getting More Truth Is First Step to Fix This, Says Shareholder Activist
PALMETTO BAY, Fla., Feb 7 /PRNewswire/ — Greed rules corporate America, says Gunther Karger. Power-hungry Washington tells us the economy is strong while skyrocketing energy costs suck disposable income from our wallets nearly bankrupting our transportation industry.
Americans must dig out more truth and reality from corporate and government leaders to reduce our risks, says Karger, retired executive and shareholder advocate, in his new book “Wall Street and Government Fraud” (Discovery Group, $14.95) available online including on http://www.guntherkarger.com . He tells us to heed that old Russian Proverb “When money speaks, truth keeps silent.”
Comment from SmartLogik Action Group: Could this equally apply to the UK?
January 26th, 2006
Opportunity for Corporate Fraud Has Shrunk - but It’s Still There (Washington Post)
Four years after the collapse of Enron Corp. spurred the most sweeping revisions in business regulation since the Great Depression, experts warn that the ingredients for a similar financial disaster remain.
Despite new laws and regulations, companies still face enormous pressure to meet short-term financial goals, creating a powerful motive for accounting fraud. Outsized executive compensation grows by the year, offering another rich incentive to cook the books. And there is no certainty that Congress will continue to fund regulatory budgets at current levels.
But some things have changed since December 2001, when Enron’s sudden descent into bankruptcy protection rocked investor confidence and left the markets reeling. Accountants face independent oversight for the first time in 70 years. Most corporate board members take their jobs far more seriously. Wall Street is somewhat less willing to accommodate clients’ interests.
