Bush anti-corruption chief accused of account fraud
By Simon English in New York

The Daily Telegraph-UK
(Filed: 15/08/2002)

President Bush's efforts to clean up corporate America were dealt an
embarrassing blow last night when the man charged with leading his
new anti-corruption task force was sued for alleged fraud.

Larry Thompson, who is also deputy attorney general, was accused of
dubious accounting practices and insider trading while on the board
of Providian, a credit card issuer that also operates in Britain.

Judicial Watch, the self-styled watchdog that is also suing vice-
president Dick Cheney for alleged accounting malpractice when he was
chief executive of oil group Halliburton, filed the suit on behalf of a
Texan shareholder in a San Francisco court.

The suit alleges that Mr Thompson and other directors conspired to
hide Providian's mounting losses in 2001, inflating the company share
price.

Mr Thompson sold more than 3 million of shares before the financial
problems became public, it is claimed. He was a board director for
four years from 1997.

Mr Thompson's office was not available to comment last night.