Despite the convincing case made by Michael Lewis against the former AIG Financial Products head, and Cassano’s own ridiculously suspicious-looking head shot, the feds may not have enough to bring criminal charges against him. Turns out, his usage of the scary “negative-basis” accounting adjustment to disguise the company’s billions of dollars worth of exposure was signed off on by auditors: “Prosecutors have obtained notes written by a PwC auditor from a November 2007 meeting that appear to show Mr. Cassano informed the auditor about the adjustment and its potential positive impact, according to people familiar with the matter.” [WSJ]
