Congressional meddling…

July 21, 2004

It’s hard to believe that only days after Ken Lay was indicted and former Adelphia founder John Rigas was convicted, that the House of Representatives would pass legislation that makes it easier for companies to hide the true cost of stock options. Everyone from Alan Greenspan to Warren Buffett has urged Congress to stay away from the issue. But the lopsided 312-111 vote shows that Congress is much more concerned with pumping up technology company earnings — the headline on the Bloomberg story in today’s Times even describes it as an industry-backed bill — than with helping individual investors to avoid cumbersome footnote disclosures. Check out the roll call and see how your Rep. voted — I’ve already contacted mine this morning to let her know that individual investors are paying attention to this issue.

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