Season 20, Episode 22 Bigger than Enron

First Aired: June 20, 2002

A look at lapses in the U.S. financial-oversight system, which were highlighted by the role of the Arthur Andersen accounting firm in the collapse of Enron. “Why didn't the watchdogs bark?” asks reporter Hedrick Smith, who traces a decade of increasingly “fuzzy” regulation practices in a white-hot economy and political climate increasingly friendly to deregulation. Smith examines Andersen's role with Enron and two other companies it audited; and looks at political “battles” over executive stock options, tort-law reform and consulting by auditors. Interviewees include Andersen CEO Joseph Berardino.