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To: JRI who wrote (27478)1/10/2002 3:39:58 PM
From: NOW  Respond to of 209892
 
OT: I concur...



To: JRI who wrote (27478)1/10/2002 4:56:12 PM
From: stockman_scott  Respond to of 209892
 
Dow Jones... Andersen/Destroyed Documents -4: Computers Seized

<<Andersen employees' computers have been confiscated and some electronic messages have already been recovered, according to individuals familiar with the matter.

The audit firm's "work papers" relating to Enron don't appear to have been trashed, but some files created by individual employees and an untold number of e-mail messages were dumped, these individuals said.

Andersen vowed to "continue to cooperate fully" with federal investigators and various congressional committees probing Enron's collapse. Federal officials said the destruction of documents won't deter their investigations.

"Destruction of documents is obviously an extremely serious matter," SEC enforcement division director Stephen Cutler said in a statement. But, he said, "the destruction of documents by Arthur Andersen will not deter us from pursuit of our investigation and will be included within the scope of our investigation."

Document destruction may have huge repercussions, raising prospects of criminal charges of obstruction of justice and perhaps offering evidence of "conscience of guilt," in the matter, other attorneys said.

"Someone's got a lot of explaining to do," said Eli Gottesdiener, a Washington, D.C. attorney, whose firm represents pension and 401(k) investors in a class-action suit against Andersen and Enron.

What documents were destroyed, when they were destroyed and why, will be critical. If documents were shredded in keeping with routine corporate practices, before any subpoenas were issued, Andersen wouldn't have much to worry about, attorneys said.

"If this document destruction occurred after October 17, there's a strong likelihood that it's evidence of consciousness of guilt," said Gottesdiener.

After Enron publicly announced the partnership losses, Gottesdiener said destroying evidence would appear as if "people at Andersen wanted to conceal the role they played in the creation of these partnerships and decisions to keep them off Enron's balance sheet.">>

(MORE) DOW JONES NEWS 01-10-02

04:40 PM