Did those who manage our mutual funds understand the practices that would cause the loss of stock values?  Should we accept their advice now about how to recover our losses?

There are difficult questions about the role of educators in the recent financial crises as well.  Did academicians understand the practices that led to the collapse of Enron, Arthur Andersen, and other companies?  If not, is it true that those who teach live in an ivory tower, unaware of reality?  If we did understand them, were there public presentations and publications warning about them?  Or were we complicit, preparing our bright students to participate in elegant swindles and hoping to benefit ourselves from inflated stock values?  What are the ethical issues involved in these questions?

Dr. Burke Ward of the Department of Accountancy and the Graduate Tax Program at Villanova will discuss the relationship between accounting firms' consulting and audit practices. Included in that would be the related discussion of senior executive compensation packages and the push for the appearance of short term earnings. He will also briefly discuss investor responsibility. Participants in a defined contribution plan, i.e., profit sharing, 401(k), 403(b), have the investment risk on them. What is the investor's responsibility?

Saverio M. Fato – ABAS Partner at PricewaterhouseCoopers LLP – will discuss the "Causes of the Crisis."  He is currently the engagement partner for Eastman Chemical Company, with sales of $5.4 billion.  In addition, he recently assumed partner responsibilities for Exide Technologies, the largest producer of lead acid batteries in the world, with sales of approximately $2.4 billion. Served until Spring 2002 as the U.S. Engagement Partner for DuPont. He joined the engagement team in July 1996 and served as the lead senior manager until his admission to the partnership in July 2000.  Saverio has served a wide range of clients during his professional career, including SEC registrants, joint ventures, manufacturing companies and public utilities, with primary focus in the chemical, pharmaceutical and biosciences industries.  In addition, Saverio is one of the firm’s Technical Liaison Partner for the Industrial Products industry.  He is active in matters related to the accounting and auditing profession, including close coordination with our National Office on emerging issues.  Saverio holds a B.S. in Accountancy from Villanova University and is a CPA.

Whatever the reasons for the loss of so much of our investments, how can we rebuild them?  Three representatives of Morgan Stanley will join us to discuss practical strategies for rebuilding your investments and planning for retirement.

Richard Gerst began his career with Morgan Stanley as a retirement plan consultant in Dean Witter’s IRA Marketing Department in 1990.  In 1991 he joined the Retirement Plan Services division of Dean Witter Trust Company as a regional marketing representative in the 401(k)/Qualified Plan Unit.  After leaving Dean Witter Trust in 1994, Richard returned to Dean Witter’s IRA Marketing Department as a Senior Consultant in 1995 having served as the Retirement Plan Product Manager for Citicorp Investment Services.  Richard joined the Retirement, Education and Gifting Business Unit of the Strategic Solutions Group in 2002.  In addition to time spent with Morgan Stanley and Citibank, Richard also worked in the Savings and Loan Industry from 1982 to 1990.  Richard holds his degree from Syracuse University.  Douglas E. Ball is a Senior Vice President at Morgan Stanley.  He has 23 years experience with Morgan Stanley and its predecessor Dean Witter, including 14 years as Branch Office Manager.  A graduate of Colgate University, Doug has gained his specializations working as a Wealth Advisor and a Retirement Planning Specialist.  We are grateful to Stephen Zengel, a Villanova alumus who now works with Morgan Stanley, for arranging for his two senior colleagues to make these presentations at Villanova.

The seminar will be in the Fedigan Room on the fourth floor of the St. Augustine Center for the Liberal Arts on Monday, September 30, at 3:30 p.m.