accountants

Compliance talent a white-hot commodity at banks

Tue, 27 May 2008 06:59:59 -0400

We've noted before that Sarbanes-Oxley and other regulatory schemes have ratcheted up salaries for lots of professions, accountants, financial staff, compliance executives, IT folks and legal. In the financial services industry, especially with the credit crisis still unfolding, the hunt for compliance talent is fervid, notes Bank Technology News. The fact is that there really aren't that many managers who can grapple with the intricacies of the USA Patriot Act, which boosted banks' obligations under the Bank Secrecy Act, anti-money laundering rules, Sarbanes-Oxley, and Red Flag guidelines. Not to mention Basel II. So headhunting is really stepping up. You can expect to hear some eye-catching offers, but with more money comes a lot more pressure and responsibility, possibly from the board as well as management. Good luck.

For more:
- here's the Bank Technology News article

Is the Sarbox hiring boomlet over?

Tue, 25 Mar 2008 07:59:59 -0400

People jokingly refer to Sarbanes-Oxley as the full employment act for accountants. Clearly, a lot of accountants, as well as finance and IT types, owe their jobs to the law. But the San Francisco Business Times notes that the hiring may be waning--even as the top firms hone their hiring practices to a near science. Controls are placed at many companies, and processes have been streamlined. There may actually be some layoffs in the works in some Big Four offices. The economy may have a lot to do with this. Companies are not going to be in expansion mode. While audits will always be necessary, a lot of related projects, especially on the consulting side, may not get funded. On the client side, you can bet a lot of departments are feeling headcount pressure.

For more:
- here's the San Francisco Business Times article
- here's an article on the art of recruitment from cfo.com

Related Article:
Wasn't Sarbox supposed to prevent this? Article

ALSO NOTED: Does a Mass law require Sarbox for nonprofits?; Demand for accountants still rising; and more...

Tue, 12 Feb 2008 06:59:58 -0500

> Does a Mass law require Sarbox for nonprofits? Article
> Is the Postal Service ready for Sarbanes-Oxley. Article
> Politicians stump for another 404 small company delay. Article
> IT investment in compliance vs. other programs. Article
> Demand for accountants still rising. Article
> Union chides hospital directors, wants them to embrace Sarbox. Release
> Sarbox funding mechanism gives FASB advantage of IASB. Article

And finally ... How to beat stress at work. Article

Sarbanes Oxley effect still palpable in hiring

Tue, 29 Jan 2008 06:59:59 -0500

I've said it before, and it's worth repeating: the Sarbanes Oxley act ought to be the accountants' full employment and high-pay act. This is how a PricewaterhouseCoopers manager tells the story to the Wall Street Journal: "We beg, we borrow, we steal, we grovel, we scour the world" to find accountants. Salaries are up. That's for sure. Compliance is a hot field of course. But forensic accounting is hot as well. So for all the talk that compliance will be less onerous for auditors and clients, the hiring need is still massive.

For more:
- here's the Wall Street Journal article

ALSO NOTED: FBI warns accountants on money laundering; Ethics lapses to pre-Enron levels;

Tue, 18 Dec 2007 06:59:58 -0500

> Whew! SEC completes Novell review. Article
> More ethics concerns lapses to pre-Enron levels. Article
> 5 big trends in internal audits. Article
> Case study: U.K. firm delists from NYSE. Why? Article
> FBI warns accountants on money laundering. Article
> FreeFlow cashes in on Sarbox and excesses inventory. Article
> Most corporate crime sentences are short. Article
> CA, IL ask why Countrywide made so many loans to people who couldn't afford them. Article

IT Watch:
> Does server virtualization pass the Sarbox smell test? Article
> Multi-vendor firewalls and Sarbox. Article

And finally ... CFO loses job before even starting. Article

ALSO NOTED: Prosecutors: Skilling does not deserve new trial; A Sarbox for home lending?;

Tue, 20 Nov 2007 06:59:58 -0500

> Prosecutors: Skilling does not deserve new trial. Article
> Dems nominate two for SEC commissioner openings. Article
> A Sarbox for home lending? Article
> Standard marketing: New security survey. Release
> Director compensation still going up. Survey
> CEO of Deloitte Financial Advisory Services on worldwide fraud. Q&A
> Israeli companies not daunted by Sarbox. Article
> Sarbox effect: In-house counsel manages outside lawyer more closely. Article
> SEC makes life easier on small companies. Article

IT Watch:
> Companies struggle with quick ID management roll-outs. Article

And Finally... Accountants are gloomy these days. Article

Bank showdown with auditors looming

Tue, 13 Nov 2007 06:59:59 -0500

The worst job in the industry right now: Auditing the books of top banks, the likes of Citigroup and JP Morgan Chase. The stakes are really high. The New York Post notes that little-known law, passed in the spirit of Sarbanes Oxley, that now prohibits banks from indemnifying auditors against mistakes. Most other companies can do this, essentially holding them blameless of mistakes that leads to suits. So if the accountants botch, there could be some real costs. Unfortunately, there are lots of hard-to-value assets and related balance sheets issues that will not easily be grappled with. Auditors will be in full cover-your-butt mode--AS5 be damned--and might press for additional write downs and other measures. Signing off on controls will likely not be easy.

For more:
- here's the New York Post article

Related articles:
- Sarbox and Merrill Lynch's audit committee
- Bar rises for internal auditors

ALSO NOTED: Accountants sue PwC for overtime; The toughest CFO job in the world;

Tue, 30 Oct 2007 07:59:58 -0400

> The toughest CFO job in the world. Article
> Courtroom revelations in TJX data breach. Article
> More on small audit firm deficiencies and Sarbox. Article
> Accountants sue PwC for overtime. Article
> A good idea? Board performance reviews. Article

IT Watch:
> Sarbox and the next generation of LANs. Article
> Financial companies ponder reference data solutions. Article
> EMC's outlook a bit murkier. Article

And finally ... The ROI on human beings. Article

What to do about whistle blower protection?

Tue, 23 Oct 2007 06:59:59 -0400

It's no secret that whistle blowers have not fared well under Sarbanes Oxley. Very few of the 491 whistleblower complaints of retaliation filed with OSHA have led to rulings for the employee, according to recent study. This is not new. But rarely have we heard talk of solutions. The intent of the law was to provide some protection to those willing to stand up for they think is right. According to Web CPA, some think there is a chilling effect brewing, which will result in fewer accountants and others willing to come forward with evidence of wrong-doing. A few tweaks to the law have been discussed, such as shifting responsibility for hearing these claims from OSHA to the SEC.

For more:
- here's a Web CPA article

Related articles:
- Enron 'whistleblower' a fraud?
- Will this Sarbox whistleblower fare any better?
- Sarbox-style whistleblowing not a lot of fun
- Morgan Stanley whistleblower complaint struck down

Read more on: Whistleblowers

Audit firms "forget" to register

Tue, 18 Sep 2007 06:59:59 -0400

This news seems almost fit for The Onion: Nearly 70 accounting firms and partners, which are charged with carrying out Sarbanes Oxley ethics reforms, have "forgotten" to register with the board that supervises the industry. "Oh yeah. That was, uh, a top priority," says one partner who was censured. "But let's face it, some summer interns just seem less diligent than others. Overall, we still see ourselves as detail oriented and a stickler for rules." The SEC is not laughing. But it settled the cases without fining any of the offenders. These firms aren't exactly moonshine outfits or unregulated betting parlors. Still, while unregistered, they conducted 53 audits for public companies. Some of them had previously agreed to return fees to clients. None of the big four firms forgot to register.

For more:
- here's an AP article via the New York Times

Related article:
- Accountants and firms charged with Sarbanes Oxley violations
- Sarbanes Oxley Act of 2002
-What's going on at the SEC?