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Non-Tech : The Enron Scandal - Unmoderated -- Ignore unavailable to you. Want to Upgrade?

To: Jorj X Mckie who wrote (208)	1/15/2002 7:00:16 PM
From: stockman_scott	Respond to of 3602

Senate Asks to Subpoena Enron, Auditors Over Destroyed Papers By JENNIFER COLEMAN Associated Press Writer Tuesday January 15, 6:40 pm Eastern Time SACRAMENTO (AP) -- An accounting firm's destruction of some of energy giant Enron's (NYSE:ENE - news) financial documents may have violated a state Senate committee's subpoena, senators investigating the state's energy crisis said Tuesday. Sen. Joe Dunn, chairman of the Senate Select Committee to Investigate Price Manipulation in the Wholesale Energy Market, said he'll ask for subpoenas to require officials from Enron Corp. and Arthur Andersen LLP, Enron's accountants, to appear for depositions about the destroyed documents. The accounting firm has admitted that it destroyed some Enron documents after federal securities regulators asked for information about Enron. ``We believe that some of the documents that have been destroyed by Arthur Andersen ... are covered by the subpoena served upon Enron last June,'' Dunn said. ``Destruction of any documents that were under subpoena by this legislative committee is a violation of California law.'' On Tuesday, Andersen fired its lead auditor of Enron and put three others on leave pending an internal inquiry. Andersen spokesman Patrick Dorton said the accounting firm was cooperating with investigators and was looking into the matter itself. ``We have no reason to believe that anything related to these matters was disposed of, but we don't know all the facts,'' he said. Enron spokeswoman Karen Denne said the company had cooperated and would continue to cooperate ``with all inquiries and investigations.'' Dunn's committee has questioned Enron and five other major energy companies as it looks into whether power suppliers influenced the market enough to run up wholesale energy prices last year. A huge jump in wholesale electricity prices caused the state's three largest utilities to incur billions in debts that a deregulation law kept them from passing to consumers. The energy companies haven't signed ``non-destruct'' agreement regarding documents the committee has subpoenaed, Dunn said, but only Enron has also refused to agree to save relevant financial papers.

To: Jorj X Mckie who wrote (208)	1/15/2002 7:08:00 PM
From: Lazarus_Long	Read Replies (2) \| Respond to of 3602

Do you prefer cooked books? I think we need some new laws here. And maybe an example. Why would Arthur Andersen brink down banks, etc?

To: Jorj X Mckie who wrote (208)	1/15/2002 8:07:29 PM
From: KLP	Respond to of 3602

Have been wondering some of the same things. Hopefully, the media will take extra care to get the facts exactly correct, and post exact words and sources, rather than "opinions." Some people don't know that an article should be considered news, and should express as little opinion as possible~unless it is a ByLine piece... If it is a ByLine piece, it will have someones name on the piece, and it should be on the Op-Ed page, NOT on the front page as "News"............ After the tech-wreck that many of us have experienced in the last two+ years, not only as employees, but as stockholders, it would seem to me that people would exercise extra care in getting facts.... after all.... Some things to think about: --If you were a CEO, or officer, or board member of a Fortune 500, or even 1000 company, and had any of the major accounting firms doing your auditing, wouldn't you want to be sure they were doing their job correctly? --If you are a shareholder in any of these companies, wouldn't you want to be sure of that too? --Where has the SEC been in the past several years on this??? --And what about the financial institutions, both investment banking, as well as brokerages...? Are there any responsibilities here? How about any of the analysts?