Arthur Anderson Redux?

The New York Times on KPMG and New Century:

New Century Financial, whose failure just a year ago came at the start of the credit crisis, engaged in “significant improper and imprudent practices” that were condoned and enabled by auditors at the accounting firm KPMG, according to an independent report commissioned by the Justice Department.

I remember when Arthur Anderson was considered unassailable (all you had to do was talk to someone who worked there). I also wonder how accounting played into the Beat Stearns debacle…