The SEC Finally Commits to a Chief Accountant, Goes for Deloitte Alum Kroeker
Pic credit: Stan Lomax?
It's about damn time. Now all we're holding out for is a final decision on IFRS. So gee, thanks!
James Kroeker, who has been acting chief accountant at the Securities and Exchange Commission since January, has been named to the job permanently, the agency announced Tuesday.
It was the latest personnel appointment by SEC Chairman Mary Schapiro, who has brought a number of changes to the embattled agency since taking over in January.
The SEC has been buffeted by criticism for failing to detect signs that major Wall Street banks were in trouble before the financial crisis erupted and for failing to discover the multibillion-dollar Ponzi fraud orchestrated by now-imprisoned money manager Bernard Madoff, despite red flags raised to agency staff by outsiders over many years.
Kroeker directed the SEC's study on so-called mark-to-market accounting rules issued late last month. The report was mandated by Congress as part of the $700 billion financial bailout package. With the study, the SEC officially rejected a banking industry push to suspend the rules, which force banks to value assets on their balance sheets at current market prices even if they plan to hold them for years.
The study recommended maintaining the fair value rules but also suggested improvements to current accounting practices.
Kroeker, who came to the SEC from accounting firm Deloitte and Touche LLP in early 2007, also has led the efforts by the chief accountant's office to address the current economic turmoil, including steps to improve guidelines for off-balance sheet accounting, according to the agency.
Blah, blah, blah. I won't be holding my breath for Kroeker to change the world or anything.