Another astonishing detail from Richard Murphy at Tax Research:
PIRC has discovered tucked away at the back of the ASB’s yawningly long Statement of Principles, from 1999 (a very good year for very bad ideas) the very clear admission that the ASB had a systemic disregard for the law, because it thought it knew better. Or, quoting from the document, the ASB preferred to focus on “what is deemed to be right”.
I added the emphasis, because that is a quite astonishing phrase. What it says is that the UK’s Accounting Standards Board ignored UK company law and created accounting standards as it saw fit rather than as the law required.
Banks were not alone. They were enabled by lawyers and accountants.