Quantcast

Halliburton Settlement...Avoids Answering Question of Cheneys Responsibility

syadasti

i heart mac
Apr 15, 2002
12,690
290
VT
Aug. 3, 2004

Halliburton Settlement Too Little, Avoids Answering Question of Cheney’s Responsibility for Accounting Irregularities

Statement of Public Citizen President Joan Claybrook

The penalty imposed today against Halliburton to settle allegations of accounting irregularities when Vice President Dick Cheney was at the company’s helm is too small and avoids addressing Cheney’s responsibility for the fraud.

To settle allegations that the company improperly altered its accounting during Cheney’s tenure as CEO, Halliburton agreed to pay just $7.5 million, which pales in comparison to the estimated $120 million by which accounting tricks boosted Halliburton’s profits during Cheney’s stewardship.

Cheney was Halliburton’s CEO from 1995 to 2000. Beginning in 1997, crude oil prices began a sharp decline, falling 50 percent from January 1997 to March 1998. This drop in the price of a commodity upon which Halliburton was dependent rocked the company’s bottom line. Under financial pressure, the company in April 1998 embarked on a radical change in its accounting practices: It began booking cost overruns in its construction business as income, rather than as expenses, and did not adequately disclose this change in practice until a year later. As a direct result of not properly reporting this accounting change, Halliburton was able to boost its reported profits by more than $120 million, misleading investors.

The Securities and Exchange Commission (SEC) noted in a complaint released today that it is the SEC’s “view that there were unacceptable lapses in the company’s conduct during the course of the investigation, which had the effect of delaying the production of information and documentation necessary to the staff’s expeditious completion of its investigation.”

The failure of the SEC to address the responsibility of Cheney, who was in charge when the accounting irregularities occurred, and instead focus upon the company’s chief financial officer and controller at the time, indicates that politics may have spared Cheney from necessary enforcement action. The CFO and controller both reported to Cheney, and he ultimately should be held responsible.
Isn't that nice? Rumsfield orders torture protocol and the people that follow orders take the fall. Cheney is at the helm, books are cooked, and the others take the fall. What a great, upstanding, responsible administration ;)
 

Changleen

Paranoid Member
Jan 9, 2004
14,903
2,864
Pōneke
Suprise level = 0.

Let's have a little bet.. Will this story appear on the Fox News network? I've just looked and can't find it anywhere. I'm betting it never will appear. Any takers?

Wait, I hear N8 coming to post something irrelevant...
 

golgiaparatus

Out of my element
Aug 30, 2002
7,340
41
Deep in the Jungles of Oklahoma
N8 said:
Whoa!

I say we also hold the President Clinton accountable as well since 100's of millions of dollars in no-bid contracts were awarded to Halliburton by the his adminstation for ventures ranging from Haiti to Kosovo during that time frame.

More on Clinton's involvement with Halliburton: http://www.nationalreview.com/york/york070903.asp
I say we hold everybody accountable... then your golden boy would be fahked, wouldnt he.

Its so crazy how we try to justify things like the president and his administration being liars and crooks by saying, "but that guy got away with it", fact is clinton isnt in office anymore and we have crooks running the country NOW.
 

N8 v2.0

Not the sharpest tool in the shed
Oct 18, 2002
11,003
149
The Cleft of Venus
golgiaparatus said:
I say we hold everybody accountable... then your golden boy would be fahked, wouldnt he.

Its so crazy how we try to justify things like the president and his administration being liars and crooks by saying, "but that guy got away with it", fact is clinton isnt in office anymore and we have crooks running the country NOW.
Really? Sez you?

:p
 

RhinofromWA

Brevity R Us
Aug 16, 2001
4,622
0
Lynnwood, WA
golgiaparatus said:
I say we hold everybody accountable... then your golden boy would be fahked, wouldnt he.

Its so crazy how we try to justify things like the president and his administration being liars and crooks by saying, "but that guy got away with it", fact is clinton isnt in office anymore and we have crooks running the country NOW.
I think he is asking "Where was this anger when (insert Ex-Pres here) was in office doing the same old same old?"

Fact is when "your golden boy" was playing, it wasn't a big concern. Funny isn't it? I am sure there is some conspiracy theory available to explain that too.......

;) just razz'n you. BUT there tends to be some trueth in jokes (heard that somewhere....)
 

Slugman

Frankenbike
Apr 29, 2004
4,024
0
Miami, FL
RhinofromWA said:
I think he is asking "Where was this anger when (insert Ex-Pres here) was in office doing the same old same old?"

Fact is when "your golden boy" was playing, it wasn't a big concern. Funny isn't it? I am sure there is some conspiracy theory available to explain that too.......

;) just razz'n you. BUT there tends to be some trueth in jokes (heard that somewhere....)
But the original issue has nothing to do with awarding contracts... it has to do with illegal activities that were done while Cheney was in charge of Halliburton.

Typical spin away from the facts and issues...
 

golgiaparatus

Out of my element
Aug 30, 2002
7,340
41
Deep in the Jungles of Oklahoma
RhinofromWA said:
I think he is asking "Where was this anger when (insert Ex-Pres here) was in office doing the same old same old?"

Fact is when "your golden boy" was playing, it wasn't a big concern. Funny isn't it? I am sure there is some conspiracy theory available to explain that too.......

;) just razz'n you. BUT there tends to be some trueth in jokes (heard that somewhere....)
He would have been my golden boy if I was a comedian... but alas, I am not and he was not my golden boy. I did like him better than Bush though.
 

golgiaparatus

Out of my element
Aug 30, 2002
7,340
41
Deep in the Jungles of Oklahoma
Slugman said:
But the original issue has nothing to do with awarding contracts... it has to do with illegal activities that were done while Cheney was in charge of Halliburton.

Typical spin away from the facts and issues...
Totally, if he were not the VP of The America Corporation then he would probably be getting his ass put in a legal vice.
 

Silver

find me a tampon
Jul 20, 2002
10,840
1
Orange County, CA
Keep in mind, the no-bid contracts would have looked a lot worse and may have gotten more attention if Al Gore was the former CEO of Halliburton, don't you think?

But yes, that isn't the point, as Slugman pointed out.
 

RhinofromWA

Brevity R Us
Aug 16, 2001
4,622
0
Lynnwood, WA
Under financial pressure, the company in April 1998 embarked on a radical change in its accounting practices: It began booking cost overruns in its construction business as income, rather than as expenses, and did not adequately disclose this change in practice until a year later. As a direct result of not properly reporting this accounting change, Halliburton was able to boost its reported profits by more than $120 million, misleading investors.
That is quite a trick....reclassing expenses as income. :think: that is black magic....me thinks.

I would love to see that. Unless that is the over simplistic gneralization of the reporter and how they understand it. :think:

Changing expenses into income is like changing water into wine. If you classify it as income you effectively reduce the income....not increase it. Maybe to artificailly inflate some formula indicators used by investors? I don't know.
 

RhinofromWA

Brevity R Us
Aug 16, 2001
4,622
0
Lynnwood, WA
Slugman said:
But the original issue has nothing to do with awarding contracts... it has to do with illegal activities that were done while Cheney was in charge of Halliburton.

Typical spin away from the facts and issues...
I came in late and read from the bottom :o: I commented on how the report leaves me with questions.

Interesting.

Right now they are saying that halliburton rerouted exhaust fumes from their cars exhaust into the gas tank inflating the fluid level of the tank.

Sounds like a lot of hot air to me :D *groan* I had to.....:help:

I think the report is not quite laying out the "accounting tricks" halliburton used....I am intersted to know though.
 

RhinofromWA

Brevity R Us
Aug 16, 2001
4,622
0
Lynnwood, WA
Silver said:
Keep in mind, the no-bid contracts would have looked a lot worse and may have gotten more attention if Al Gore was the former CEO of Halliburton, don't you think?

But yes, that isn't the point, as Slugman pointed out.
No, we can thank him for the Internet though......:D
 

Slugman

Frankenbike
Apr 29, 2004
4,024
0
Miami, FL
RhinofromWA said:
IRight now they are saying that halliburton rerouted exhaust fumes from their cars exhaust into the gas tank inflating the fluid level of the tank.

Sounds like a lot of hot air to me :D *groan* I had to.....:help:
 

Silver

find me a tampon
Jul 20, 2002
10,840
1
Orange County, CA
Regular accounting is bad enough...accounting for construction projects is worse. I wouldn't be surprised if it gets overly simplified in the regular press.
 

Changleen

Paranoid Member
Jan 9, 2004
14,903
2,864
Pōneke
N8 said:
Really? Sez you?

:p
Wow, that is like, THE BEST COMEBACK I've EVER heard!

Damn, I can't believe I never used that one myself in intelligent debate.
Next time some one posts an article, an makes an entirely reasonable point based on it, rather than trying to argue it rationally, using facts or other evidence, I'll just say 'Really? Sez you?'! I especially like the way you spelt says wrong, how witty!
 

narlus

Eastcoast Softcore
Staff member
Nov 7, 2001
24,658
65
behind the viewfinder
see, your problem is that you think you are engaging in intelligent debate. if you want to do so and joust w/ the right wing crowd in a well-thought out manner, i suggest you try w/ Burly Surly or Rhino who will offer just that.

N8 is just a cut and paste tool.
 

N8 v2.0

Not the sharpest tool in the shed
Oct 18, 2002
11,003
149
The Cleft of Venus
narlus said:
see, your problem is that you think you are engaging in intelligent debate. if you want to do so and joust w/ the right wing crowd in a well-thought out manner, i suggest you try w/ Burly Surly or Rhino who will offer just that.

N8 is just a cut and paste tool.

Better that than a euro-tool wannabe.

:)
 

RhinofromWA

Brevity R Us
Aug 16, 2001
4,622
0
Lynnwood, WA
Silver said:
Regular accounting is bad enough...accounting for construction projects is worse. I wouldn't be surprised if it gets overly simplified in the regular press.
A simplified guess would be you could accelerate the recognization of income by saying the project is further along than it is.....

OR

You can delay the costs recognized on the projects.....

OR

A combination of both.

But recording expenses as income just makes ZERO sense (or should it be cents?) :rolleyes: @ myself....:help:
 

narlus

Eastcoast Softcore
Staff member
Nov 7, 2001
24,658
65
behind the viewfinder
N8 said:
Better that than a euro-tool wannabe.

:)
did i mention i was in prague last weekend, drinking delicious half-liters of pillsner urquell and eating roasted rabbit for short change?

what exotic parts of louisiana were you poking around in?

:blah:
 

N8 v2.0

Not the sharpest tool in the shed
Oct 18, 2002
11,003
149
The Cleft of Venus
narlus said:
did i mention i was in prague last weekend, drinking delicious half-liters of pillsner urquell and eating roasted rabbit for short change?

what exotic parts of louisiana were you poking around in?

:blah:

I was over in Dallas having fun at Six Flags and Hurricane Harbor...

Eating TexMex and swilling Margaritas....

:eviltongu
 

syadasti

i heart mac
Apr 15, 2002
12,690
290
VT
narlus said:
did i mention i was in prague last weekend, drinking delicious half-liters of pillsner urquell and eating roasted rabbit for short change?

what exotic parts of louisiana were you poking around in?

:blah:
I think he was sampling the fresh rat with mushrooms and homebrew on the otherside of his basement. It was tough journey and he heard about a terrorist alert from the crickets chirping on his side of the basement but decided to go when he learned their inside information was actually 4 years old :nuts:
 

N8 v2.0

Not the sharpest tool in the shed
Oct 18, 2002
11,003
149
The Cleft of Venus
syadasti said:
I think he was sampling the fresh rat with mushrooms and homebrew on the otherside of his basement. It was tough journey and he heard about a terrorist alert from the crickets chirping on his side of the basement but decided to go when he learned their inside information was actually 4 years old :nuts:

No one has a basement in LA dork. They would all be in-home swimming pools. :p

Furthermore, while a member of the rat family, nutria is tastey... esp. w/moonshine.

:rolleyes:
 

narlus

Eastcoast Softcore
Staff member
Nov 7, 2001
24,658
65
behind the viewfinder
N8 said:
I was over in Dallas having fun at Six Flags and Hurricane Harbor...

Eating TexMex and swilling Margaritas....

:eviltongu
dallas. there's a world class city if there ever was one.

the silver jews wrote a great song called Dallas