Thank you gwr1 for continually posting this very informative column. Most of Ed's topics are very enlightening, while others are entertaining and some are even funny, albeit pathetic as per the following:

Snippet:

"U.S. futures industry investigators are looking into why Iowa-based collapsed brokerage PFGBest used a tiny accounting firm that appears to be operating from inside a suburban Chicago home to audit its books, according to a person familiar with the matter.

Experts said the use of such an auditor should have been a red flag to regulators of a futures brokerage with more than $500 million in assets and several hundred employees across the United States as well as in Shanghai and Canada.

There are comparisons with the way convicted Ponzi schemer Bernard Madoff used an auditor operating out of a strip mall in suburban New York and convicted swindler Allen Stanford's investment firm retained a little-known auditor on the Caribbean island of Antigua."

Comment:

Where to start??

Do you hire the biggest and brightest?

Odds are that if you do you could end up with someone like Arther Anderson. Nuff said!!

One thing is for sure. Any reputable company will send you a BIG bill, and I do mean BIG!

Which begs the question "When did mathematics change from being an exact science?"

Answer! When accountants changed it into an ART form!

All accounting used to be able to be done with paper and pencil.

Most accountants today have no clue how to even start compiling a financial report. Sure, they can take all the pigeon-holed info. and re-pigeonhole the totals (to whatever suits them - its called creative accounting), but they rely on the bookkeepers (accountants fallguys) to get them their info.

One other question (on the side)based on this snippet within the above snippet

"from inside a suburban Chicago home"

Wonder if this home was "underwater"?

How about if they apply for similar accounting procedures as the banking fraternity is priveliged to have?

If that were the case, where is the problem. Any bottom line is what you want it to be, no questions asked.

Now how about comparing "Ponzi Schemes".

Madoff versus Government!

No difference IMO.

GoodLuck to all!