Andersen May Spin Off Audit Practice
The report  indicates that an announcement about the plan could be made as early as this week. Andersen's audit practice would become a stand-alone firm, providing audit and related services. No information has been provided as to whether firm would continue to use the name, Andersen.
The plan is being described as one of the results of an internal review of Andersen conducted by former Federal Reserve chairman, Paul Volcker, who was brought in as a consultant shortly after Andersen became embroiled in the publicity surrounding the Enron bankruptcy.
One unnamed senior Andersen partner was quoted as saying, "Clients are deciding that they will not buy consulting from their auditors. The game is up and the whole industry faces restructuring."
Meanwhile, according to a report  on our sister site, AccountingWEB UK, Andersen is denying the validity of the report, and a spokesperson at Andersen UK said, "no decisions had been made, and no announcements were imminent."