During two closed sessions before the luncheon, committee members discussed the latest in financial regulation issues. At a luncheon briefing following these sessions, SFRC members gave several statements and answered questions.

The bankruptcy of the Enron Corp. and the role and responsibility of its external auditor, Andersen, has occupied the nation as has no other public accounting issue.

On April 13, 2012, the US Department of the Treasury released new cost estimates for the Troubled Asset Relief Program. Looking principally at actual and projected contractual cash flows, the document concludes that: "Overall, the government is now expected to at least break even on its financial stability programs and may realize a positive return." 

The Shadow Financial Regulatory Committee (SFRC) is a group of publicly recognized independent experts on the financial services industry--including banking, insurance and securities--who meet regularly to study and critique regulatory policies affecting this sector of the economy.

Current pension accounting rules significantly understate state pension plan liabilities and overstate their funding health. Using accurate accounting, Washington’s combined plans would face a $50.6 billion short fall. By private pension standards Washington’s pension system would be considered endangered.

U.S. adoption of International Financial Reporting Standards (IFRS), has been sidelined by the financial crisis, but deserves more attention.  Both issues illustrate the perils of political interference in financial reporting and in the process of professional standard setting.

At this luncheon press briefing, SFRC members issued statements and answered questions.

At this event, the Shadow Financial Regulatory Committee presented a summary of its meeting on February 21, 2010.