CORRECT: Who Does He Think He is? Warren Buffett!

NEW YORK - Legendary investor and businessman Warren Buffet has again been questioned by the Securities and Exchange Commission (SEC) for his accounting practices. The SEC first questioned Mr. Buffett in relation to his derivative contract. Not only did Buffett comply, he spent 4-5 pages in the 2008 annual report explaining how the contract works. The SEC has again recently inquired about Berkshire's accounting. They said that the company was not writing down losses on Kraft and U.S. Bancorp, but Berkshire maintains that its accounting is correct.

According to our latest research, Buffett would actually be up on his Kraft investment where he has an average price of $31. He would also only be down $700 million on U.S. Bancorp which is very small given the size of his investment portfolio. But is Buffett not showing these unrealized losses? In his annual report, Berkshire shows the fair value of U.S. Bancorp and Kraft at yearend for both 2008 and 2009.

One has to question the SEC. Who are they? This may be the one time in history when the institution asks who is he? And everyone wonders why is this institution overcompensating for their past blunders.