>One example: accounting scandals in the US are rare. I don't think anyone trusts accounting figures for public companies from India or china.

I work in accounting. You’re right, I trust the US more than India or China, but you’d be surprised at the liberties US companies make and how many individuals from India are auditing their work. Auditors (excluding partners and some senior managers) are just not equipped to deal with the technical accounting concepts and to challenge management. Remember, the company employs the auditors. You certainly don’t want to ruin a $1MM contract for your firm but pressing too hard.