Looking for Evidence of Accounting Chicanery? Try Digging Deeper

When Enron collapsed last year amidst allegations of misleading financial statements, it joined a long list of companies that had originally been given clean bills of health by auditors and analysts, only to have that information later discredited. Yet according to analyst and author Howard Schilit, businesses were, in fact, broadcasting their misdeeds long before corporate watchdogs caught on. The problem is that nobody was looking in the right places.

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