[Dilpil]

What does being a public company mean?

Part of it is having to spend a large chunk of your profit on audits, which supposedly certify that your company is healthy and non fraud committing.

This certification was granted to Enron, Lehman Brothers, and many other companies that absolutely did not deserve it.

The S.E.C. should take this as an opportunity to learn something about what investors really want. It isn't regulation. Its profit and growth.

[yummyfajitas]

The audit requirements have absolutely nothing to do with preventing companies making risky bets (e.g. Lehman) from going public.

They are there primarily to make sure the company actually exists and is roughly what is represented to investors. The point is to make sure Lehman is actually a major global investment bank rather than 3 guys + a website in Long Island + a bank account to accept cash wires.

[c2]

The SEC isn't there to ensure profit and growth, the SEC is there is ensure investors aren't being defrauded.

[borism]

something about what investors really want. It isn't regulation. Its profit and growth

and they got plenty of the two with Enron and Lehman. Until the music has ended, that is.