The investigation also found that the company improperly accounted for some markdowns in its 2003 and 2004 fiscal years.

WorldCom disclosed last month that it had improperly accounted for $3.8 billion in expenses.

The insurance department said the company had improperly accounted for those transactions, known as reinsurance treaties.

The suit also contends that the company has improperly accounted for options issued at a discount to prevailing market prices.

Once the exports generated revenues, the money was improperly accounted for again and again, the audit found.

But the disclosure by WorldCom late last month that it had improperly accounted for $3.8 billion in expenses may have been significant.

The convention started on the same day that WorldCom announced it had improperly accounted for $3.8 billion in expenses.

He said Georgia Power improperly accounted for $61 million in spare parts held in inventory.

No direct evidence links Mr. Neil to the improperly accounted payments.

But PricewaterhouseCoopers said that the company appeared to have improperly accounted for some of the derivatives in its portfolio.