"The era of low standards and false profits is over," Mr. Bush said.

The Labour deficit only appeared small pre 2007 because of false profits from the banking bubble which they choose to accept without challenge.

This, the commission said, resulted in $348 million of false profits and $83 million of actual losses.

Why didn't the auditing firm, Arthur Andersen, realize that the company was booking false profits?

The era of low standards and false profits is over; no boardroom in America is above or beyond the law.

Kidder, Peabody was later involved in a trading scandal related to false profits booked over the course of 1990-1994.

Both of those charges related directly to the company's having misled investors by reporting false profits.

The commission added that more false profits were reported in the first six months of 2002, increasing the total fraud to $1.4 billion.

Reading between the lines of Mr. Lynch's report, by the end of 1992, $32.5 million in false profits that had been reported were missing.

Once settlement of the trade happened, any false profits immediately were reversed as a loss.