BUSINESS DIGEST
Political Gridlock Halts Changes in Accounting Law Six months after the collapse of Enron, the wave of enthusiasm for overhauling the corporate and accounting laws has ebbed and the toughest proposals for change have been thwarted. A consortium of lobbyists, exploiting partisan disagreement in Congress, appears to have killed the most far-reaching proposals, and the jockeying has begun over how to manage that outcome in the fall elections. Bills imposing more stringent accounting standards, changing the tax and accounting treatment of employee stock options, and setting tougher conflict-of-interest rules for stock analysts and accounting firms that perform nonauditing consulting services have all fallen victim to political gridlock. [Section A.]