AKRON (Feb. 12)—The Securities and Exchange Commission has launched a formal investigation into the reinstatement of Goodyear's financial results over the last five years.
By formalizing its probe, the SEC has more power and a wider jurisdiction. It now has the ability to subpoena witnesses, including those inside Goodyear, and has the authority to investigate outside the Akron-based firm.
The tire maker also is conducting an investigation into possible improper accounting practices in Europe. That inquiry has spread to other overseas operations, a company spokesman said. Thus far, the company has not uncovered "anything that will have a material impact on our financial statement," he said.
The internal accounting probe could delay the firm's filing of its 2003 annual report past a March 15 deadline, he said. It began in December after Goodyear completed its financial restatements for most of the previous five years. It has yet to file amended results for 2002.