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...Assuming that [your plan] had been adopted, say, on Jan. 26, 2001, is there the remotest chance that it would have prevented 9/11?" Republican commissioner Slade Gordon asked Clarke last week. "No," Clarke replied. Killing bin Laden and bombing al-Qaeda training camps, as Clarke advocated, might have dealt the organization a setback. But most U.S. officials believe that the planning for the terrorist attacks was already so far advanced that such actions wouldn't have halted them. Some of the 9/11 hijackers were already in the U.S. in early 2000 laying plans...

Author: /time Magazine | Title: The Truth Of The Matter | 4/5/2004 | See Source »

...that the pretax income it reported for 2000 and 2001 was just a tad off--$74.4 billion less than it had said, after writedowns and adjustments. Outside auditors have signed off on bogus earnings reports and balance sheets at companies from Rite Aid to Xerox. In some cases, auditors dealt with corporate brass intent on concealing thievery; WorldCom's ex-CFO, Scott Sullivan, recently pleaded guilty to fraud and conspiracy charges, for instance. In other cases, auditors simply lacked spine: again and again, they failed to police the books aggressively for fear of losing the client, along with consulting gigs...

Author: /time Magazine | Title: Revenge of The Bean Counters | 3/29/2004 | See Source »

Bottom line: Be nice to your accountants--or else. Outside auditors answer to an audit committee made up of at least two independent board members; previously they might have dealt only with a chief financial officer, and "it would not have been unusual for CFOs ... to try to limit the scope of an audit," says Scott Green, head of compliance for the law firm Weil, Gotshal & Manges. Since the law bars accounting firms from selling certain consulting services to audit clients, including such lucrative ones as information-systems design, auditors face less pressure from their partners to pass cooked books...

Author: /time Magazine | Title: Revenge of The Bean Counters | 3/29/2004 | See Source »

...They claim that under the Bush Administration the board has been stripped of most of its aviation expertise and that it will move further in that direction if President Bush's fourth nominee for the five-member board, Deborah Hersman, is approved. Hersman, 33, a Senate aide who has dealt mainly with truck and train issues, will replace current NTSB member John Goglia, 59, who has spent 30 years working on aviation safety and is the only airline mechanic ever to serve on the board...

Author: /time Magazine | Title: Air Experts in Exile? | 3/29/2004 | See Source »

...Others have dealt with the fundamental inaccuracies of Cheney's statements. I'm more concerned about the snide, dismissive, undignified quality of the Vice President's performance. He set the ugly, personal tone for the week, for the coordinated attacks on Clarke's character and motives. (The merits of Clarke's case were confirmed by the paper trail unearthed by the 9/11 commission's staff.) But the public seems to have tired of the Vice President's act. According to a Fox News poll last week, Cheney has an approval rating of 35%-and my guess is that the Administration...

Author: /time Magazine | Title: Sending Out the Smite Squad | 3/28/2004 | See Source »

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