Miami (July 11, 2002) -- Washington-based Judicial Watch has filed a shareholder lawsuit against Vice President Dick Cheney and Halliburton Co., the oil company he ran for five years, alleging accounting fraud.
The civil suit, filed in federal court in Dallas Wednesday, alleges that the company used fraudulent accounting practices that resulted in the overvaluation of its shares, deceiving investors. The suit claims Halliburton overstated revenues by $445 million from 1999 through the end of 2001, according to an Associated Press report.
Cheney served as chief executive of Halliburton from 1995 to 2000. The lawsuit also names 10 members of Halliburton's board and its former auditor, Arthur Andersen LLP.
The claims in this lawsuit are untrue, unsupported and unfounded," Halliburton Chief Financial Officer Doug Foshee said in a statement.
The charges come a day after President Bush unveiled a plan to crack down on accounting fraud that included the creation of a new corporate fraud task force and tougher sentences for those convicted of financial fraud.
-- Electronic Accountant Newswire staff
