What to do with Webster
Now that Harvey Pitt has resigned as SEC Chairman, the question of whether William Webster should remain as head of the new accounting industry oversight board looms even larger. One top Democrat, Rep. Barney Frank, who will be the ranking Democrat on the House Financial Services Committee, has already called on him to resign. The Republicans cannot afford to let the Democrats make the state of the SEC, the accounting industry, and the integrity of the markets their issues and should also call on Webster to resign. Any perceived weakness by the public on cracking down on accounting fraud could come back to haunt them. The Democrats will jump at it as a way to prove to the public that the GOP stands for corporations against the little guy.
Webster himself has said that if the controversy regarding his role at U.S. Technologies impedes the board's ability to function, he would resign. This is not good enough. One of the stated goals in creating the board was to restore investor confidence in the accounting industry. It should be clear that a man involved in a company accused of accounting fraud is not the right man to do that. He should resign now, and let the new SEC Chairman, whoever that will be, propose his/her own candidates.
Comments
Webster was a do nothing pick from the get go. Unobjectionable and served no other function then to make the accounting industry happy that nothing would really get done. I would speculate that the new head will be cut from the same cloth. An unremarkable selection who is unobjectionable with no standing whatsoever and who will be ineffectual and simply blame the lack of enforcement on lack of funding. I hope I’m wrong.
By the way I would like to tell you that you have a fine blog going here. I love what you dig up! Keep up the good work.
Posted by: Rick DeMent | November 7, 2002 10:45 AM
Thanks, Rick. I have a kind of weird, offbeat sense of humor, so when I see articles about things like pop-up toilets and Free Winona apparel, it strikes me as funny.
I really like your blog too. You write very well and have some excellent essays. Perhaps that's why you scored Tom Paine on the Founding Father quiz.
Posted by: Lesley | November 7, 2002 05:44 PM
Although I disagree with you vehemently about the French, lol.
Posted by: Lesley | November 7, 2002 05:50 PM
With an name Like DeMent and a maternal Grand father named LaRouge I know a little about the French.
Hey We will be on MT Sometime this weekend so feel free to come by and punch holes in our wild, baseless political ideas!.
Posted by: Rick DeMent | November 8, 2002 07:00 AM