AOL's accounting under SEC investigation
C|Net | at | by Mike
AOL Time Warner shares fell Thursday as worries of a Securities and Exchange Commission inquiry overshadowed the company's second-quarter profit. Immediately following its earnings announcement Wednesday, AOL Time Warner said that the SEC would be looking into its accounting practices in reaction to a critical newspaper report last week.
"After the (Washington Post) articles came out, the SEC informed us they are conducting a fact-finding inquiry," CEO Richard Parsons said, referring to a report in the newspaper that the AOL division boosted its online advertising earnings through questionable deals amid mounting indications that the company would suffer a collapse in ad revenue.