Reply #1: Still has legs!!!...They're as long as a giraffe's!!! [View All]

[BJ]

Looks like the congressional Dems mean business too! Joe Lieberman's getting involved!
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"...In 1993, the Financial Accounting Standards Board (FASB), the body responsible for setting accounting standards in the U.S., attempted to fix stock option accounting. The proposal required stock options to be valued, and that value recorded as an operating expense over the period of time that the options vested. A wide constituency of business interests opposed this. In support of these business interests, Senator Joseph Liebermann (D-Conn.) introduced and obtained support for the “Equity Expansion Act of 1993”. This was the first time that Congress intervened in a purely accounting matter. Lieberman’s act negated the FASB’s proposal for all public companies. In 1994, Lieberman continued the assault with the “Accounting Standards Reform Act of 1994”, which would have required the SEC to review and approve all new accounting standards. The 1994 legislation effectively would have removed the FASB’s authority. In response, the FASB changed its position to the rules that now exist. FASB folded, and said so. According to John Foster, a board member, “We know this isn’t the right answer, but the debate has been so divisive, we need to bring closure to this item.”

Lieberman won, and investors that depend on fair financial statements lost."
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http://www.fulcruminquiry.com/article21.htm