Ex-Enron CFO Fastow Schools US Audit Board on Fraud

Former Enron CFO Andrew Fastow urged the US audit regulator to ensure that auditors question corporate accounting and speak up when they uncover the hallmarks of fraud.

“These companies are exploiting the accounting rules, accounting assumptions, and using their structured finance in order to make their financial statements look healthier than they really are,” Fastow told members of the Public Company Accounting Board during a meeting of its investor advisory group on Thursday. “There are people like me unfortunately who are going to exploit every one of these situations.”

Fastow, one of three invited speakers on a panel, urged the ...