Speaking recently at the International Corporate Governance Network Annual Conference in London, Deloitte Touche Tohmatsu CEO William Parrett called on national regulators to convene a special summit before the end of the year with the goal of developing a more uniform global regulatory environment. “In an ideal world, a global regulator would be the answer […]
Stephen Taub
Posted inFrom the Archive
Flurry Of Premium-Priced Grants Not Seen As New Trend
In the first half of 2005, at least 34 companies have awarded to executives a total of 148 stock option or restricted stock grants whose strike price exceeds the price of their company’s stock at the time they were granted. That’s according to Tim Ranzetta, president and COO of compensation research firm Equilar, Inc., which […]
Posted inFrom the Archive
Multinationals Find SOX Is Conflicting With Local Laws
Back in June, a German labor court ruled that Wal-Mart’s proposed whistleblower process—implementing a hot line for employees to report on colleagues’ violations—violates German law, according to a published report. Labor representatives from Wal-Mart’s 91 German stores sued the world’s largest retailers after it introduced the whistleblower and other policies without their prior approval. Westman […]
Posted inFrom the Archive
Mercury Interactive Probe Shows Focus Still On Options
Mercury Interactive is apparently taking seriously a regulatory probe into prior stock option grants. The $685.5 million business software company recently announced that it has appointed a special committee to look into the matter “in response to an informal inquiry of the Securities and Exchange Commission,” which was initiated in November 2004. The company said […]
Posted inAccounting & Auditing
Just Similar Names? Auditors Seek Distance From Foreign Affiliates
Are the major accounting firms legally conjoined to their international affiliates, or are they separate and not responsible for the actions of those foreign units? This is one of the critical issues that will be decided in lawsuits stemming from Parmalat’s massive accounting scandal, and it’s one that could have a big impact on how […]
Posted inFrom the Archive
Stock Exchanges Cracking Down On Chronic Late Filers
The Nasdaq Stock Market recently proposed a new rule with the Securities and Exchange Commission that would impact serial late filers trading on the OTC Bulletin Board. Under the proposal, OTCBB issuers that file late periodic reports three times—or are removed for filing delinquency two times in a 24-month period—will be ineligible for OTCBB quotation […]
Posted inRegulatory Enforcement
Mirant Lawsuit Could Make Southern Co. Liable For Debts
Mirant Corp. and its creditors committee have filed a lawsuit against its former parent, Southern Co., asserting, in effect, that the Atlanta-based holding company played a role in Mirant’s bankruptcy due to the way it structured the spin-off of Mirant in April 2001. The plaintiffs are seeking to recover at least $2 billion in connection […]
Posted inAccounting & Auditing
In Dumping KPMG, Is REIT “Opinion Shopping”?
Areal estate investment trust (REIT) recently fired outside auditor KPMG over a dispute that experts say is very unusual for a number of reasons. Nashville-based Healthcare Realty Trust, which specializes in health care-related properties, said it fired KPMG because the auditor has not completed its audit of the 2004 financials or its audit of the […]
Posted inFrom the Archive
SEC Wants Lease, Pension Guidance To Be “Reconsidered”
Last week, the Securities and Exchange Commission released a report on off-balance sheet arrangements that may impact a wide range of topics including retirement arrangements, contractual obligations, leases. The study, mandated by The Sarbanes-Oxley Act of 2002, includes a SEC staff analysis of public companies’ filings, as well as recommendations that, according to outgoing Chairman […]
Posted inFrom the Archive
Dilution Dropping At Stock Plans For The First Time
Last year, 80 percent of Protein Design Labs’ shareholders opposed the company’s 10-year stock plan. So this year, the biotech company came back with a newly proposed equity compensation plan at its annual meeting, and it passed. The major difference between the two years? The new plan is less dilutive overall. According to the Investor […]