WTF Is It Now?!?

The case against Harvey Pitt.
Sebastian Mallaby writes "In his bungled effort to implement the post-Enron accounting reform, Pitt has not merely been incompetent. He has not merely bowed to the accounting lobbyists whom he is meant to regulate. He has been very nearly dishonest.

"Pitt himself declared on Friday that John Biggs, the head of a big pension fund, had excellent credentials. But he claimed that William H. Webster, the ex FBI and CIA chief whom he eventually backed, was even better. This is just not credible. Under the law, the chairman of the new audit overseer is supposed to understand accounting and the role of auditors. Though he is extremely distinguished, Webster has only a general grasp of these issues -- so general in fact that one SEC commissioner speculated that his appointment might provoke a legal challenge.

"Given that Pitt's explanation of his actions makes no sense, it's hard to avoid the conclusion that the accounting lobby, operating through the House Republican caucus, did indeed sway his decision."

Gee, ya think??

In a related story, consumer confidence sank to its lowest level in nine years this past month, to 79.4.