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

To: Mephisto who wrote (1415)	1/28/2002 11:37:30 PM
From: Mephisto	Read Replies (1) \| Respond to of 5185

Lib Dems urge inquiry into Labour's Enron Links Ros Taylor The Guardian Monday January 28, 2002 The Liberal Democrats today called for an inquiry into Labour's links with the bankrupt energy firm Enron and its accountants Arthur Andersen. Matthew Taylor, the Liberal Democrat treasury spokesman, this morning described the government's business links as "pretty dubious" and claimed that Andersen had produced some "very questionable reports" backing government policy. Mr Taylor told Guardian Unlimited Politics that Andersen had issued "two key reports" last year which supported aspects of Labour policy. The first, Value for Money Drivers in the Private Finance Initiative - which was commissioned by the Treasury and published in January 2000 - concluded that "on the basis of the public sector's own figures, the PFI... appears to offer excellent value for money." The second, Not Just Peanuts, identified Britain, Spain and the US as the "best performing entrepreneurial environments". Its findings are in stark contrast to those of a KPMG report published at the same time, Mr Taylor said. Andersen's willingness to help the chancellor, Gordon Brown, plan his windfall tax while Labour were in opposition had been rewarded by extensive government business, Mr Taylor told BBC Radio 4's Today programme. Andersen had previously been barred from undertaking government work after the accountants failed to stop a US car manufacturer from extracting millions of pounds over a Belfast car plant. "This free work appears to have paid off, because just after the general election they were brought back into government business and have been absolutely at the centre of what has been happening in government since," he said. He added that Enron's sponsorship of a Labour event had helped to smooth the way for their takeover of Wessex Water, while a ban on building gas-fired power stations was lifted after former Labour employees were taken on to lobby for it. He added that Lord Wakeham, currently the chairman of the press complaints commission and a former non-executive director of Enron, needed to explain his role. Lord Wakeham has declined to comment. Labour insisted it had never received any donations from Enron. "It is a matter of public record, both from our accounts and previous newspaper reports, that Enron Europe has bought tickets for dinners and sponsored one event," a party spokesman said. "The last event they attended was in April 2000." Tony Blair's spokesman added that Enron representatives had met ministers from the Department of Trade and Industry, including Peter Mandelson, Helen Liddell and Stephen Byers, but denied they had received special treatment. "We would refute absolutely that there has been any impropriety," he said. The change in government policy on gas-fired power stations had been guided by market demands, he added, and Mr Blair had never had any official meetings with Enron representatives. However, the Conservative vice chairman, Tim Collins, supported the Liberal Democrats' call for an inquiry. "There are certainly some very interesting coincidences here," he said this afternoon. "It is exactly a cash-for-access problem, and it is on a scale which dwarves some of the problems encountered by past ministers in past administrations." guardian.co.uk

To: Mephisto who wrote (1415)	1/29/2002 12:31:04 AM
From: Mephisto	Read Replies (1) \| Respond to of 5185

Avoid Enrongate at all costs! Sunday, January 27, 2002, 2:00 PM EST (APJPAvoid Enrongate at all costs! It's noteworthy that as Enrongate simply overwhelmed newspaper headlines this week, the Cheney-Card Misadministration got Vice President Dick Cheney and White House Chief of Staff Andy Card to do the spinning. it's also noteworthy that there was plenty of talk about the "war on terrorism", which these days seems restricted to imprisoning about ten dozen Al Qaeda and Taliban thugs at Guantanamo, and the upcoming State of the Enron...er, Union Address. We heard NO talk about the following headlines: Two Enrongate-related suicides, one an Enron exec, one an Arthur Andersen honcho More memos pointing to trouble going back a year The start of hearings in Congress -- and one Arthur Andersen official asserting his fifth amendment rights Questions surrounding the Secretary of the Army's ties to Enron Evidence that Dick Cheney himself acted subtly as Enron's "Repo man", pressuring India to repay the energy broker for money owed ...and that's just for starters! Here's what we caught... FAUX News Sunday Big Time Dick emerges from his bunker! A brief Time-Warner cable outage caused us to miss the first few minutes of Tony Snow's interview with Vice President Dick Cheney, so we joined the action about 4 minutes into the show. Picture and sound kicked in as Cheney was busy characterizing Palestinian leader Yassir Arafat as an unreconstructed terrorist. FNS host Tony Snow cued Cheney to say that Arafat is "in cahoots with" Hezbollah (as if most of the world hasn't figured that out). Tony did say that the Cheney Administration has supported a Palestinian state, and Cheney said that the process of negotiating a Palestinian homeland requires a state of peace, and that is "the dream of [Palestinian] people and the administration" (then why no moves to get BOTH sides to take tensions down a notch, Dick? Arafat's a thug, but Ariel Sharon's no angel). Cheney added "Arafat has to take action" to end violence against Israelis... he knows what he has to do." Then came the most telling exchange in which Cheney has ever taken part on TV: talk turned to Enron. Why won't Cheney release the names of his Energy Policy mafia? Cheney bragged about the "good report" that took several months to write (good for Williams, Southern, and other energy scammers) and bills that the House of Confederates passed (return on investment in pols). Cheney then carped about the GAO getting involved in the mess (a sure indication that he fears what a complete and "un-shredded" release of documents will yield), and griped that "we've already given them a lot" of material (oh, please -- it's not as if the GAO is Kenny Starr out to obtain hundreds of thousands of documents, emails and memos through subpoenas, and it's beginning to sound like a cover-up). Big Time Dick then pouted about Rep. Henry Waxman demanding records, claiming that if he did so he would never be able to have confidential discussions (complete nonsense -- Dick would have nothing to fear if he did not bear the taint of a bankrupt, crooked company himself), and said making the material public would be a "fundamentally bad idea" (oh we see -- full disclosure and transparency of the process of secretly developing "energy policy" that shuts out consumers, environmental experts and safety and regulatory advocates is a bad thing). There was no follow-up question. Cheney then told the truth -- Democrats are trying to turn Enrongate into a political matter (and, let's face it, with a bought-and-paid-for Puppet Pretend-ident with Uncle Dicky, Uncle Rummy and Uncle Andy pulling the strings, what's so wrong with that?). Cheney again painted the issue as one of confidentiality (read: secrecy out of the light of public scrutiny and accountability) and added he would refuse to give the GAO any further material (read: he's dead meat). Cheney then lamented the "erosion of power" of the (Imperial) Presidency and said that the Bush (read: his) administration would not allow any of its powers to be frittered away (powers that his own party tried to undermine with eight years of false "scandals" cooked up against Clinton -- and all they discovered is that he's a major-league chick magnet). After the break, Brit Hume joined the asked if there were any circumstances under which Cheney would release material to the GAO. Cheney beat around the bush about getting advice on the matter, then AGAIN said he objected to the idea that he might not be able to have a conversation in confidence (stop wasting our time, Dick, we heard you the first time). There was no follow-up question. Hume asked about the political fallout, even using the term "attendant scandal" as he asked if Cheney is ready to deal with the heat. Cheney said the issue is not the advice of Enron but the collapse of Enron -- if there are crimes, then the crooks should be prosecuted (he may live to regret that assertion), and the Cheney-Card cadre will work to defend 401(k)s (in a way that benefits the big brokerage houses and banks, naturally). There was no follow-up question. Is there anything in the energy plan that benefits Enron? Cheney avoided a direct answer, just saying that Enron offered suggestions, and that Enron was opposed to price controls as is he (read: screw all regulation, it's my duty to the energy cartel to see to it that they can soak power consumers), adding that he and the task force should be judged by the report (believe me, Dick, you are being judged -- as an accomplice in grand larceny, price-fixing, undermining antitrust efforts, and screwing over investors). There was no follow-up question. Tony quizzed Cheney about the current Army Secretary, Tom White, who had been involved in energy trading (read: up to his eyeballs in the Enrongate brown sauce). Cheney called him a man of integrity. There was (you guessed it) no follow-up question. Brit then asked Cheney about Colin Powell's recommendation that prisoners at Camp X-Ray be labeled prisoners of war. A smile crossed Cheney's face as he thought to himself, "Thank God THAT bit of spin is behind me", stuck to his "unlawful combatants" guns for the happy campers at Guantanamo -- and pretty much admitted the label was being used to keep Geneva Convention rules from applying! Cheney said the people being held at "Gitmo" were out to kill Americans, may have information to help stop further terrorist attacks and prosecute terrorists, and are "being treated appropriately." Cheney characterized the issue as legal (as opposed to a human rights issue, which it has very much become in the European and Middle Eastern press). Tony switched to the issue of the war on terrorism -- and reports that Mullah Omar and Osama have slipped into Pakistan (cheap plug: if you haven't taken our "Where's Osama" poll, go to americanpolitics.com. Cheney thinks the wily bin Laden is still alive, even though he has not made any of his characteristic rambling videotaped pronouncements, and if he were dead there's be signs: more "noise in the system" (slang for intelligence garnered from communications intercepts). Brit asked about campaign finance reform legislation, which looks poised to pass the House. Cheney said the Bogus POTUS has "set out his standards" by which he would pass or veto a bill -- including undercutting the ability of unions to spend money on political campaigns. This is a big hint, bare-knuckles politics fans -- Smirk will probably veto this legislation and spin it as a false "paycheck" issue. Tony asked a confusing question that tied together the State of the Enron...er, Union address, Shrubbie's "economic stimulus" scams and "obstructionist" Tom Daschle. Cheney said that Daschle blocked George W. Twig's phony stimulus package -- and is now trying to back off. But nothing could be further from the truth. Daschle has maneuvered the supply-side geniuses into painting themselves into a corner. By the time November rolls around, it will be the economy, stupid -- and stupid's GOPers stand to lose the House. Tony asked how Cheney's health is -- Cheney said it was good. Finally, a joke question: who has the better cave -- bin Laden? Cheney smiled and said he does. Brit gave Cheney a last shot at bashing Iran (who have been tied to the intercepted arms shipment to Palestinian fighters)...er, make that, "encouraging Iran to change their behavior." Following the half-time "break" (commercials for brokerage houses and The Simpsons), it was "Panel Time"! Mara Liasson, Bill Kristol and Juan Williams joined Tony and Brit. And naturally, they AVOIDED Enrongate -- with the exception of passing mention toward the end of the pap. americanpolitics.com

To: Mephisto who wrote (1415)	1/29/2002 12:36:05 AM
From: Mephisto	Read Replies (1) \| Respond to of 5185

Cheney Is Set to Battle Congress to Keep His Enron Papers Secret The New York Times January 28, 2002 By ELISABETH BUMILLER W ASHINGTON, Jan. 27 - Vice President Dick Cheney said today that the White House was prepared to go to court to fight the release of documents demanded by Congress as part of the investigation into any influence the Enron Corporation (news/quote) had in formulating the Bush administration's energy policy. Mr. Cheney said that the General Accounting Office, the agency demanding the documents, was overstepping its authority and that he had a right to keep the documents secret to preserve his ability to get "unvarnished" advice from outside consultants. David M. Walker, the head of the General Accounting Office, responded this evening in an interview that it was now "highly likely" that he would file a lawsuit against the Bush administration if Mr. Cheney did not turn over the documents by the end of this week. Of the vice president's assertion that the agency was overstepping its bounds, Mr. Walker, the comptroller general of the United States, replied, "Talk is cheap." It would be the first time that the accounting office, the investigative arm of Congress, sued another government department for not cooperating with an inquiry. In interviews on the ABC program "This Week" and "Fox News Sunday," Mr. Cheney said that it was the right of the president and vice president to keep secret meetings like those that Mr. Cheney and his energy task force had over the last year with Enron executives as the administration devised its energy policy. "What I object to," Mr. Cheney said on "Fox News Sunday," "and what the president's objected to, and what we've told G.A.O. we won't do, is make it impossible for me or future vice presidents to ever have a conversation in confidence with anybody without having, ultimately, to tell a member of Congress what we talked about and what was said." At issue is how much Enron, a major contributor to the Republican Party, influenced the Bush energy plan, which eases environmental rules, opens public land to drilling and provides tax incentives to energy companies for exploration. Enron and the White House have acknowledged that Enron executives met five times with Mr. Cheney or members of his staff about energy last year, and documents from the meetings could show whether the administration policy mirrored any specific recommendations of Enron's. A lawsuit would increase pressure on Mr. Cheney, who is under criticism from Democrats for his relationship with Enron, the giant energy trading company that filed for bankruptcy protection and that has ties to officials in the Bush administration. "Now, the fact is, Enron didn't get any special deals," Mr. Cheney said on ABC. "Enron's been treated appropriately by this administration." Mr. Cheney also said that turning over the documents would be detrimental to the presidency. "We've seen it in cases like this before, where it's demanded that presidents cough up and compromise on important principles," Mr. Cheney said. As a result, he said, "we are weaker today as an institution because of the unwise compromises that have been made over the last 30 to 35 years." Some Republican strategists have begun to worry that Mr. Cheney's stance is contributing to perceptions that the White House has something to hide on the issue. The New York Times/CBS News Poll published today showed that a majority of Republicans believed that the administration had not been forthcoming about its dealings with Enron. Mr. Walker, a member of the Reagan and first Bush administrations, who was appointed by President Bill Clinton in 1998 to a 15-year term as comptroller general, said that he did not agree with Mr. Cheney's position that he was allowed to keep the meetings secret because of his position as vice president. "This is not about the vice president's constitutional position," Mr. Walker said. "It's about his capacity as chairman of the national energy policy development group. From Day 1, this has not had anything to do with the constitutional position of the vice president. I know they want to present it that way because they think people will be more sympathetic, but that's not factually accurate." Mr. Walker said that it was his view that the White House had put Mr. Cheney in charge of energy policy for that very reason - to claim executive privilege and avoid oversight of the group by Congress. "But that's a loophole big enough to drive a truck through," Mr. Walker said. Mr. Walker also took issue with an assertion by Mr. Cheney that the accounting office was pursuing the information only because of the political heat generated by the Enron scandal. In the ABC interview, Mr. Cheney said that the accounting office first pursued the documents last summer but then relented under the administration's stance that the information was privileged. "The G.A.O. sort of backed off," Mr. Cheney said. "They in effect said, `Well, maybe we aren't going to pursue it at this point.' What's re- energized it now is the question of Enron, and some efforts by my Democratic friends on the Hill to try to create a political issue out of what's really a corporate issue." At least 10 Congressional committees are investigating the Enron debacle. Mr. Walker responded that Mr. Cheney's statement was "absolutely false" and said that the accounting office had been prepared to go to court in September, before the attacks on the World Trade Center and the Pentagon occurred. He decided, he said, to wait until the crisis had abated before pursuing the matter. An administration official said today that it was likely that any court fight over the documents would take years, and that the White House was convinced it had a strong case. White House officials continue to say that the Enron debacle is a financial scandal, not a political one, and point out that the president's approval ratings remain high, above 80 percent. White House officials also say that even if Mr. Cheney turns over the documents, this will only whet the Democrats' appetite. Page 1 NATIONAL EDITION

To: Mephisto who wrote (1415)	1/29/2002 12:49:25 AM
From: Mephisto	Respond to of 5185

FUTURE'S ON THE LINE FOR CHENEY CINDY ADAMS THERE'S a sort of "pin the tail on the vice president" game quietly caroming around the White House. Nobody really talks about it. Nobody really knows what you're talking about when you try to talk about it. It is not articulated. It is not formulated. It just is. Pose any question, no matter how soft and mushy, about the VP. Ask, for instance, "So, listen, what do you think, is Cheney on the ticket again with Bush next time up?" And the easy loose answer is: "Oh, hey, the re-election's so far down the line that with all the problems around nobody's focusing on that yet." Right. Ask, "So, what's your opinion, could this Enron thing suck Cheney in?" And what comes back at you is: "Oh, who knows what can happen with the way things can happen in the world these days." Right. Mox nix what the query is, the 1600 Pennsylvania Avenue strategy now is: No statements or assessments or pronouncements, no speculation whatsoever on Vice President Richard Cheney's future. Nothing positive. Nothing negative. Just nothing. Zip, zap, zippo, zero, zilch. It would almost seem - almost - almost as if, if somebody eventually needs to be thrown overboard in light of Enron's end run, that the wise heads, wise guys and wise asses on top of the mountain are readying the VP to be the designated sinker. Last weekend, the veep's people cast about to offer him to the talking heads news shows. Previously, he was in the bunker. Suddenly, he emerged from the bunker. Looks like a VP p.r. invasion is in the making. pagesix.com

To: Mephisto who wrote (1415)	1/29/2002 1:02:51 AM
From: Mephisto	Read Replies (1) \| Respond to of 5185

Bush declines to identify the executives he discussed energy policy with By SONYA ROSS The Associated Press 1/28/02 9:16 PM WASHINGTON (AP) -- Setting the stage for a showdown with congressional Enron investigators, President Bush said Monday he will not identify the executives who met with him about energy policy. "It's an encroachment on the executive branch's ability to conduct business," he said. The head of the General Accounting Office, Congress' investigative arm, said he will decide this week whether to sue to force the White House to turn over documents on the meetings Vice President Dick Cheney held with energy companies. They included the now-collapsed Enron Corp., a Houston-based concern with deep ties to Bush. Bush said that as president he reserves the right to hold private consultations about policy. Like Cheney, who predicted this matter will be resolved in court, Bush said he would resist the GAO's efforts. "In order for me to be able to get good, sound opinions, those who offer me opinions, or offer the vice president opinions, must know that every word they say is not going to be put into the public record," Bush said. "We're not going to let the ability for us to discuss matters between ourselves to become eroded." The White House has said that representatives of Enron, the troubled energy trader that was ranked as the seventh-largest U.S. corporation, met six times last year with Cheney or his aides to discuss energy issues. The GAO has not announced a decision about its next steps but its head, Comptroller General David Walker, said Sunday, "The ball is in the White House's court." The White House went into a protective stance Monday, as if the GAO had already decided to sue. When asked whether the White House would try to avoid a lawsuit, White House spokesman Ari Fleischer noted the flurry of news stories about the matter and said: "If you read what they leaked over the weekend, they've already said they're going to." In an interview with CNN, Cheney said the administration made these same arguments against disclosure with the GAO last summer, and the agency backed off at that time. "I think because they know they've got a weak case," he said. "What's happened now, since Enron's collapse, is the suggestion that somehow now the GAO ought to come back and get this information," Cheney said. "The collapse of Enron in no way, shape or form affects the basic principles we're trying to protect here. This is about the ability of future presidents and vice presidents to do their job." Congressional Democrats, however, accused the White House of stonewalling. Philip Schiliro, chief of staff to Rep. Henry Waxman, D-Calif., senior Democrat on the House Government Reform Committee, said the GAO is not seeking the records of internal deliberations within the administration, as the White House says; investigators want only the names of the company officials or lobbyists and the subjects they brought up. "It sounds as if they're (the White House) in denial. And it also sounds like they're making a concerted effort to not address the issue that's been raised," Schiliro said. Bush dismissed the political implications. "This is not a political issue. This is a business issue that this nation must deal with," Bush said. "Enron made contributions to a lot of people around Washington, D.C. If they came to this administration looking for help, they didn't find any." As to suggestions that the administration's energy policy was riven with items from Enron's "wish list," Bush replied: "Well, Enron went bust. ... It went broke because there was not full disclosure of finances. What we're talking about here is a corporate governance issue." Thousands of employees and big and small investors nationwide lost fortunes in Enron's plunging stock as the company spiraled into the biggest bankruptcy in U.S. history on Dec. 2. The Justice Department is pursuing a criminal investigation of Enron and its longtime auditor, the accounting firm Arthur Andersen. The Securities and Exchange Commission has been investigating since Oct. 31. Eleven congressional panels also have opened inquiries. oregonlive.com On the Net: