Assist clients evaluate and develop sound accounting policies and procedures that meet requirements and principles established by accounting standard setting bodies and regulatory agencies. Strong experience in banking and financial services, as well as other service based industries. Our advise is based on sound understanding of core accounting principles that drive requirements found in new standards or perceived conflict between existing standards or requirements. Our goal is not to re-invent the wheel, but to find workable and theoretically accurate solutions.
Start the Accounting Policy Section at the World Bank and International Finance Corporation (IFC), Washington, DC. Work with World Bank and IFC’s Controllers on financial statement preparation, audit committee reports and internal controls to maintain World Bank and IFC’s compliance with US GAAP and International Accounting Standards issued by FASB abd IASB. Interact with external auditors as well as accounting and finance departments. Primarily responsible for addressing accounting policy issues and implement new accounting standards issued by standard setting and regulatory bodies.
- Prepare World Bank and IFC’s corporate response to standard setters on draft principles and policies issued by the FASB on the Financial Instruments Project. The FASB’s Financial Instruments Project developed the principles and laid the foundation for the development of exposure drafts stipulating the accounting treatment of financial instruments, including derivatives covered by FAS 133, FAS 140 and other FASB statements. Explain how proposed standards and regulations affect the World Bank Group and IFC.
- Develop accounting treatment for loan and equity jeopardy cases, loan securitization transactions, and advise on accounting issues concerning IFC’s expansion of advisory services.
- Review and update the quarterly financial statements and annual report paying close attention to compliance with the requirements of US GAAP and International Accounting Standards.
- GETTING IFC ITS OWN BUILDING
To break prolonged deadlock in negotiations that has been going on for years between the World Bank Group and IFC concerning IFC’s claim on the office building it occupied on I (Eye)-Street, NW that was legally owned by the World Bank but leased to IFC, develop a financing model that allowed the two parties to simultaneously treat the cash flows emanating from the lease as an operating lease for the World Bank and a capital lease for IFC in compliance with FAS 13 and FAS 5. Result: The innovative financing model, which uses a bargain purchase option and cash flow stream consistent with accounting requirements, met the needs of both parties to have a capital and an operating lease in the same real estate transaction. This meant that the World Bank could treat its lease receipts as revenues from an operating lease, and the IFC could treat its lease payments as deposits under a capital lease that would give IFC ownership interest at some point in the future. The financial model was approved by the external auditors, PwC, in consultation with technical staff from the Financial Accounting Standards Board (FASB), Norwalk, CT. The features of this unique financial and accounting model, which was in compliance with generally accepted accounting principles based on bargain purchase requirements of FAS 5, allowed IFC to press its claim on acquiring the World Bank building it occupied on Eye Street, NW. In lieu of accepting IFC’s proposal to adopt the newly formed accounting and financing model, which would give the IFC ownership interest in the leased property it occupied on Eye Street, NW, the World Bank Board of Directors chose instead to allow the IFC to go out and purchase land to build and occupy its own building at 2121 Pennsylvania Avenue, NW, Washington, DC.
Investment Officer: IFC: Structure, arrange and promote International Finance Corporation (IFC) B-Loan Syndication to participating banks and financial institutions for projects financed in East and Southern Africa, including:
- Tanzania Brewery, Inc. Dar es Salaam, Tanzania.
- Malawi Sugar Corporation, Lilongwe, Malawi
- Meikles Hotel, Harare, Zimbabwe
- Ethco Ethonol Plant, Blantyre, Malawi
Financial Accounting Policy Specialist: IFC: Played key role in defining accounting treatment and internal control requirements for IFC’s first securitized loan transaction of $163 million. Coordinated with Treasury, rating agency, external accounting and Information Technology to develop and execute the transaction.
Financial Accounting Policy Specialist: IFC:
- Review key components of the FASB exposure draft and draft statement of principles for FASB financial instruments and developed and articulated IFC’s position to standard setters with respect to applicability and impact on multilateral financial institutions.
- Prepare policy memos, notes and papers on accounting policy treatment of innovative transactions such as sale of subordinated loans under British Law, cash collateral invested (repos and reverse repos), interest, currency and intermediary swap transactions, covered forward agreements, debt defeasance, options, quasi-equities, and liquid investment valuation. Develop accounting treatment for loan and equity jeopardy cases, and loan securitization transactions. Advise on accounting issues concerning IFC’s expansion of advisory services.
- Address accounting issues as they arise, which included Financial Accounting Standard (FAS) #106, “Employers’ Accounting for Post-Retirement Benefits Other Than Pensions,” Valuation of Liquid Investment, Contribution to Special Programs, FAS 105: “Disclosures on Credit Risk and Concentrations of Credit Risks,” SOP 90-11: “Disclosure of Certain Information About Debt Securities Held as Assets,” and “Disclosure About Market Value of Financial Instruments.” Use macros to develop a financial model to evaluate the impact of FAS 91 on the amortization of loan origination revenues and costs.
- Project and calculate the World Bank semi-annual lending rate to developing countries based on the Bank’s cost of funds. Developed a comprehensive management report on the Bank’s US$80 billion borrowings portfolio, which is distributed to management and borrowings analysts on a quarterly basis. Determine the impact of currency and interest rate swaps on the Bank’s borrowings portfolio and cost of funds. Prepare special reports as requested by management and other users. Supervised two financial analysts.
- Prepare IFC’s response to draft statements issued by the Financial Accounting Standards Board (FASB) and the International Accounting Standards Board (IASB). Explain how proposed standards affect the World Bank and IFC. Prepare IFC’s corporate respond to standard setters on draft policy statements. Develop and present seminars at the World Bank on important accounting issues.
- Review and update World Bank and IFC financial statements in the annual report as well as the quarterly financial statements to ensure compliance with generally accepted accounting principles (GAAP) and regulatory requirements. Supervise staff preparing various sections of the annual report and quarterly financial statements. Coordinate with Information Technology Department to implement new accounting standards and procedures. Address internal control issues as they arise.
Accounting Policy Advisor: World Bank & IFC
- Maintain awareness of developments in accounting literature with respect to FAS133, whereby fair value defined hedges are taken to income to recognize the potential risks inherent in the transaction and cash flow hedges are reflected in equity to correctly record the financial impact on shareholders’ interests.
SOX Audit Trading & Money Market Operations: Rabo Bank
Perform compliance audit of money market trading activities of a major AAA international money center bank to assist Big-4 accounting firm meet Sarbanes Oxley requirements.
External Auditing: PricewaterhouseCoopers
- Plan and coordinate the audits of the annual reports of multinational, Fortune 100 corporations. Audit Exxon’s filing with the SEC, consolidated financial statements, Oil and Gas Statistical Supplement and $4 billion pension plan. Audit Marine Midland Bank’s annual report. Audit areas included money management operations, International Banking Facilities and Bahamas operations, loan and credit review, Letters of Credit, Federal Reserve Deposit requirements, Money Transfer and Compensation. Audit W. R. Grace filing with the SEC and its consolidated financial statements. Prepare and discuss internal control recommendations with audit clients. Supervise four to six accountants on each audit.
Compliance Auditing: J.P. MorganChase/Chemical Bank
- Audit various subsidiaries and departments of Chemical Bank, New York for compliance with established operating procedures. Audits included: Euro-dollar Edge Act subsidiary, New Jersey property development company acquired in foreclosure, commercial and capital lease operations, Bahamas Euro-dollar financial statements and operations. Audit SWIFT, CHIPS, Fedwire, International and Domestic payments, Investigations and Compensation areas. Work closely with the Bank’s operating management and the Auditing Division to achieve organizational objectives. Supervise up to four auditors on each engagement.