Back at the turn of the 21st century, the big accounting scandal was that firms such as Enron were allowed by their accountants to use gimmicks to inflate their profits. There were demands that the accounting profession take a harder line with corporate clients, and federal legislation was adopted to ensure that balance sheets were more realistic.

Now, according to Congressmen Henry Waxman, D-Calif. and Michigan’s Bart Stupak, D-Menominee, the big scandal is that companies are being too pessimistic with their balance sheets in the wake of the adoption of federal health insurance reform. Their stance amounts to political hypocrisy.

The two congressmen have slated a hearing for next week for several corporate executives to explain why they took write-downs following passage of the health care legislation. Read more at www.detnews.com