Court Overturns
Arthur Andersen Conviction

May 31, 2005 (Associated Press) — The Supreme Court on Tuesday overturned the conviction of the Arthur Andersen accounting firm for destroying Enron Corp.-related documents before the energy giant's collapse.

In a unanimous opinion, justices said the former Big Five accounting firm's June 2002 obstruction-of-justice conviction -- which virtually destroyed Andersen -- was improper. The decision said jury instructions at trial were too vague and broad for jurors to determine correctly whether Andersen obstructed justice. http://accounting.smartpros.com/x48441.xml

[TaxMama comment: Oh wow! One of the biggest accounting firms in the world was put out of business by this - and the conviction is worthless? Do you think the partners care at this stage? Sure, it's a bit of personal vindication. But the Supreme Court didn't say Andersen wasn't guilty - just that they trial could have been handled better. Ouch!]