Two former Arthur Andersen auditors have settled charges with the Securities and Exchange Commission accusing them of failing to exercise due professional care and skepticism in their 2001 audits of bankrupt telecommunications giant WorldCom.
The SEC instituted public administrative proceedings against former Andersen audit partners Kenneth M. Avery and Melvin Dick but said both the auditors submitted offers of settlement agreeing to be barred from appearing or practicing before the SEC as accountants. Avery will be able to apply to be reinstated in three years and Dick, who was the lead audit partner, in four years.
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