San Francisco: The US official charged with cleaning up Enron-like corporate scandals, stands himself accused of corporate fraud in a lawsuit to be filed on August 14 by an anti-corruption watchdog group, the group said in a statement.

The lawsuit to be filed in US District Court in San Francisco names deputy attorney general Larry Thompson, head of the newly-formed corporate crime task force, as a defendant, along with Providian Financial Corporation, a credit-card company which Thompson once served as a director, Judicial Watch said.

The lawsuit by the conservative group better known for its attacks on the Democratic administration of former President Bill Clinton is more bad news for Republican President George W Bush as he seeks to distance himself from a wave of multi-billion Dollar corporate accounting scandals that have rocked the US economy.

The lawsuit against the government's corporate crime snoop coincides with a deadline imposed by the Securities and Exchange Commission on 697 company bosses to swear to the accuracy of their accounts.

The chief executive officiers will be the first of a total 947 business leaders expected to sign statements of accuracy, in a move by US regulators to restore confidence among shaken investors. Other companies will provide statements later, depending on the timing of their business years.

Judicial Watch has filed a similar lawsuit against Vice-President Dick Cheney for his actions as chief executive of Halliburton, energy services company. Bush also has had to fend off questions about his role as a director of the now- defunct oil company Harken Energy.

"There is a dangerous intersection between politicians of all stripes, Democrat and Republican, attempting to feed at the trough of business greed," Judicial Watch chairman Larry Klayman said.

"The Providian scandal is especially egregious because it highlights this incestuous relationship in perhaps its clearest form – a director who allegedly participated in and profited personally from alleged securities fraud is appointed to a key government position where he is alleged, on information and belief, to have abused his official office to block appropriate government enforcement action."

Thompson could not be reached for comment, but Providian on August 13 labeled the pending lawsuit a 'political' act.

Providian spokeswoman Laurel Munson said the company was aware the lawsuit was coming.

"This lawsuit has nothing to do with today's Providian," she said. "On the face of it, the plaintiffs appear to be trying to make a political point."

Judicial Watch said Thompson and other Providian officers knew about accounting irregularities that delayed the reporting of losses in 2001.

Thompson was a company director from 1997 until confirmed as deputy attorney general by the US Senate in May 2001.

The group said its lawsuit alleges Thompson and others sold their stock "to unsuspecting buyers before Providian's true financial condition could be discovered".

Judicial Watch also said Thompson stands accused of abusing his official position to block any Justice Department investigation into alleged fraudulent and illegal activities of Providian and its directors, including Thompson.

President George W Bush announced Thompson's appointment in early July, after revelations of scandals at energy trader Enron and other companies shook Wall Street and sent share prices plunging.

The appointment has been criticized because of Thompson's past work as a lawyer defending corporate officer's accused of crimes.

The 'Washington Post' newspaper has reported Thompson sold $ 5 million worth of his Providian stock upon his confirmation, in keeping with government ethics rules.

Providian has been plagued by defaults in its credit card business, causing a plunge in its stock price and company-wide layoffs.

Last year, Providian settled charges of with regulators of inflating financial reports by charging consumers excessive fees for credit.