Korean Job Discussion Forums

[RachaelRoo]

http://www.cbc.ca/story/business/national/2006/05/25/enron-decision.html


Enron's Lay found guilty on all counts, Skilling on 19
Last Updated Thu, 25 May 2006 13:22:44 EDT
CBC News

A jury has convicted Enron Corp. founder Kenneth Lay and former chief executive Jeffrey Skilling in their criminal trial related to the demise of the once high-flying company.
Jeffrey Skilling speaks to reporters after being convicted on 19 of the 28 charges he faced.

Lay, 64, was convicted on six counts of fraud and conspiracy linked to the downfall of the company he helped build into the seventh-largest company in the United States.

Skilling, 52, was found guilty on 19 of the 28 charges he faced. He was convicted on one count of conspiracy, one count of insider trading, five counts of making false statements and 12 counts of securities fraud. He was acquited on nine counts of insider trading.

The jury of eight women and four men reached their verdict on their sixth day of deliberations.

Sentencing for the two men is set for Sept. 11. Lay faces up to 45 years in prison, while Skilling faces a sentence of up to 175 years.

U.S. District Judge Sim Lake set a $5 million US bond for Lay, who was ordered to surrender his passport before he left the Houston courthouse where the trial was held.

Skilling lawyer vows appeal

Speaking briefly to reporters outside the courthouse, Skilling said he was disappointed.

"But that's the way the system works," he said.

Skilling's laywer, Daniel Petrocelli, said they will mount a "full and vigorous" appeal.

Enron went bankrupt in December 2001 following revelations that it had hidden huge losses by using fraudulent partnership deals. The losses were kept off the company's balance sheet.

After the losses were revealed, the company's stock plunged, wiping out billions of dollars of investors' money.

Enron's collapse was the biggest case of bankrupty in the United States up to that point. (WorldCom's collapse would later steal that dubious honour.) Roughly 5,600 Enron employees subsequently lost their jobs.

[Bulsajo]

[bucheon bum]

still, I had a smile on my face working into work this morning after hearing that news.

[Gopher]

[ddeubel]

I have a smile on my face too.............good job.

Still what worries me is that they both seemed to have a smile on their faces (if you watched the full press huddle thingee). I smell something, these guys seemed so relaxed and they must still have a good pile of cash somewhere -- if they can come up with 5 mil apiece bond (10% cash and the rest collateral.).

I hope it doesn't turn out to be another Scrushy and HealthSouth thing where he eventually got off scot free (and maybe with 2.7 billion)........when once facing life. Or it could turn out they spend a paltry few years in prison and come out to spend and enjoy like so many others have (I'm thinking of the one securities trader in particular, forget his name........). White Collar crime still pays so I will wait and see before permanently wearing a smile.

DD