Enron Corporation was an energy company based in Houston, Texas.Prior to its bankruptcy in late 2001, Enron employed around 21,000 people and was one of the world’s leading electricity, natural gas, and communications companies, with claimed revenues of $101 billion in 2000. Once the largest buyer and seller of natural gas and electricity in the US, Enron also traded numerous other commodities and provided risk management, project financing, and engineering services. Fortune magazine named Enron America’s Most Innovative Company” for six consecutive years. It became most famous at the end of 2001 when it was revealed that it was sustained mostly by institutionalized
A former Enron finance executive has been sentenced to three years and 10 months in prison for his role in a bogus deal to boost earnings.
Dan Boyle was sentenced alongside former Merrill Lynch bankers Robert Furst and William Fuhs, who will both serve three years and one month.
Enron fraudulently recorded the 1999 contract as a $12m (£6m) profit
Eighteen former Enron directors have agreed a $168m settlement deal in a shareholder lawsuit over the collapse of the energy firm.
Leading plaintiff, the University of California, announced the news, adding that 10 of the former directors will pay $13m from their own pockets.
The settlement will be put to the courts for approval next week
Four former Merrill Lynch employees and an ex-Enron executive have been found guilty of fraudulently inflating the energy firm’s profits.
A jury convicted ex-bankers Daniel Bayly, Robert Furst, William Fuhs and James Brown of fraud and conspiracy.
Ex-Enron finance director Dan Boyle was also found guilty
Kenneth Lay, Enron’s former chief executive, has spoken out for the first time since the 2001 scandal that shook corporate America to the core.
Mr Lay blamed the fraud on his finance chief, claiming to be one of the 98% of Enron employees who were “good, honest, hardworking individuals”.
Prosecutors have been trying to build a case against Mr Lay for over two years