Andersen seeks to assure alums
February 07, 2002
(Reuters) — In yet another step to shore up its reputation, Andersen has dashed off a letter to its alumni telling them the beleaguered accounting firm will weather the Enron storm.
The No. 5 accounting firm, known within the industry for its ability to attract the best college graduates, has been taking several steps lately to repair its battered credibility following the Enron debacle.
In a letter dated Jan. 31 to former Andersen staff and obtained by Reuters, Chief Executive Joseph Berardino outlined the actions the firm has taken so far regarding its role in the Enron saga, repeatedly noting its proactive stance.
``When committees asked us to testify, we did so,'' Berardino wrote in the letter. ``Others did not.''
The four-page letter also mentioned how Berardino voluntarily testified before Congress in December but how Enron Chairman Kenneth Lay declined an invitation to appear.
In recent weeks, Andersen has been under heavy fire for blessing Enron's books that were later restated and for admitting its partners destroyed Enron-related documents. In response, Andersen has mounted an advertising campaign and hired former Federal Reserve Chairman Paul Volcker to head a panel that will review the firm's policies and procedures to bring about fundamental changes.
In the letter, Berardino also alluded to how all the Big Five accounting firms had their share of embarrassing accounting scandals.
``We're not the first, and we won't be the last big organization to run into serious problems,'' Berardino wrote. ''Our profession has seen major issues surrounding Barings, BCCI, Cendant, Rite Aid , Xerox , Maxwell and more. Our competitors have weathered the storm of these matters, just as we will.'' |
