Adelphia Regroups under Tighter Scrutiny
Buffalo, NY – According to a Los Angeles Times report Monday, Adelphia Communications will be keeping its Los Angeles assets.
Interim Adelphia Chief Executive Officer Erland Kailbourne told the newspaper everything has changed as a result of Adelphia's bankruptcy filing.
Previously, Adelphia put its L.A. interests up for sale.
However, Adelphia will be regrouping under tighter new rules aimed at curbing the current financial meltdown in the business world.
Two corporate reforms were announced Monday.
The Securities and Exchange Commission published a list of 945 companies whose Chief Executive Officers and Chief Financial Officers are now required to personally certify accuracy of recent annual reports.
Adelphia Communications is included on the list.
Securities and Exchange Commission Chairman Harvey Pitt said this is an "unprecedented step" to help restore investor confidence.
The SEC is demanding a written oath from company leaders that numbers in the financial reports are complete and accurate.
And in another reform effort, chief investors and financial market law enforcers from New York, California and North Carolina have agreed to require top Wall Street firms to end conflicts of interests costing investors millions of dollars.
Investment banking firms and money managers doing business with the states' massive pension funds will have to adopt anti-conflict-of-interest principles.
They will be required to disclose more about potential conflicts, adhere to several safeguards and accept closer monitoring.
The agreement imposes and extends New York Attorney General Eliot Spitzer's May settlement with Merrill Lynch to end conflicts of interest.