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

To: Mephisto who wrote (3779)	4/1/2002 7:53:33 PM
From: Mephisto	Read Replies (1) \| Respond to of 5185

Pension Director Is Retiring; Florida Fund Had Enron Loss The New York Times March 29, 2002 TALLAHASSEE, Fla., March 28 - The head of Florida's state pension fund, which has come under scrutiny because of losses from investments in Enron (news/quote), announced today that he would retire in June after six years on the job. Tom Herndon, executive director of the State Board of Administration, the nation's fourth-largest public pension fund, made his announcement nearly four months after a money manager hired on behalf of the fund sold 7.6 million shares of Enron at a huge loss. Florida's total loss related to Enron's collapse was $328 million, making it one of the largest losses incurred by a single shareholder. That loss prompted an inquiry by a state legislative panel as well as an investigation by the attorney general into the actions of Alliance Capital Management (news/quote), the company responsible for the largest part of the loss incurred by the fund. Mr. Herndon, 56, who earns a salary of more than $171,000 a year and has worked in state government for 32 years, said the Enron debacle had nothing to do with his decision to leave. He said he wanted to leave before he grew too old to take a position in the private sector. "I realize the announcement of my departure may seem untimely to some because of the recent Enron problem," Mr. Herndon said. "I can't control how people may choose to view this decision, but the simple truth is that I'm ready for a change." Mr. Herndon's successor will be chosen by Gov. Jeb Bush and two other elected officials, both Republicans, who act as trustees to the pension fund. nytimes.com