You are correct to point out that the salary level for the sec reflects the impotence of that agency being relied upon for action AFTER the damage happens.
But you are not correct about Sharon Watkins. Here memo discloses that she did not have a clue as to what was wrong. She was, after all, the Chairperson of one of Enron's biggest "SPEs", (an off-balance sheet entity) for three friggin' years.
The issue was disclosure to the shareholders, she thought, the issue was gain on stock, which of course she was dead wrong. The internal revenue code, (362?) is quite clear, no gain (or loss)is recognized by a corporation in dealing with its own stock. This was not a tax issue, it was a disclosure issue.
It would have been found years before it could do massive harm if private attorneys and their clients, had not been effectively PREVENTED from filling small civil suits by congressional legislation.
By the way, how's that legislation on campaign finance reform doing, say wasn't that passed about six months ago???
:) |
