Audit & Accounting

The managing executive of the Crowe Chizek’s Commercial Services Group will become the chief executive of Crowe Group LLP in April.Charles “Chuck” Allen, 53, will succeed Mark L. Hildebrand, who is completing his second term as the head of the firm. Hildebrand was first named chief executive in 1999.

What’s becoming increasingly apparent as more and more companies reveal the results of internal investigations into the timing of stock options grants to executives, is that there’s really no cut and dry, right or wrong, when it comes to the practice.According to published reports and independent research groups, upwards of 130 publicly traded companies have announced that they are looking into their own options-granting practices -- and the actual number is surely much, much higher than that. But with many of those investigations wrapping up, what comes now?

Grant Thornton LLP, the U.S. member firm of Grant Thornton International, reported that its revenues for the 2006 fiscal year were up 22 percent, to $886 million.Among the firm’s highlights for the year ended July 31, 2006:

Speaking before 500 new partners, the chief executive of Deloitte Touche Tohmatsu announced that the firm’s global revenues would top $20 billion for the 2006 fiscal year, growth of 11.5 percent over the previous year.William G. Parrett said that financial services industry, consumer business, and manufacturing were the strongest industry sectors for member firms around the world, increasing 21 percent, 19.8 percent and 15.8 percent, respectively. Parrett also noted that 2006 was the fourth consecutive year of double-digit revenue and the 13th consecutive year of growth for the firm.

Baker Tilly International will soon formalize the relationship between 22 midsized accounting firms, creating a new network to be called Baker Tilly USA.Chairman of the board of Baker Tilly USA Robert J. Ciaruffoli, who is also the chairman and chief executive of member firm Parente Randolph, said that an official announcement won’t be released until later this month.

The American Institute of CPAs has released a second exposure draft of a proposed statement on standards for valuation services.

VALENCE HIRES HELIN DONOVAN: Valence Technology Inc., an Austin, Texas-based developer of rechargeable battery technology, has hired the firm of Helin Donovan Trubee & Wilkinson as its independent accountant.Helin Donovan succeeds Big Four firm Deloitte & Touche as Valence's auditor.

In a significant move toward accounting clarity and better financial management, the General Assembly of the United Nations has resolved to adopt International Public Sector Accounting Standards and shift from partial accrual to full accrual accounting.The effects of the change will ripple around the globe, as governments recognize the authority of the international standards.

Our previous column reviewed the improvements in financial reporting that will follow from a new standard requiring capitalization of all material leases. When that reform is implemented, it will replace a 30-year-old standard with practices that should have been put in place, well, 30 years ago.As we described, moving to capitalization will have many effects, the most obvious being the introduction of a new liability to the lessee's balance sheet. It will also put a new asset into the base of the reported return on assets ratio at an amount that currently cannot be estimated from the footnote.

AMERITAS DIRECT ROLLS OUT NO-LOAD ANNUITY: Ameritas Life Insurance Corp. has unveiled its Genesis No-Load Variable Annuity, distributed via its Ameritas Direct unit, which markets the No-Load series of insurance and annuity products to self-directed consumers.Ameritas Direct designed the Genesis Variable Annuity, which features no commission, no sales charge, no withdrawal charge and no policy fee. (Gains are taxed as ordinary income and additional penalties may apply to withdrawals made prior to age 59-1/2.)