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

To: James Calladine who wrote (2688)	6/8/2003 9:24:08 AM
From: Glenn Petersen	Read Replies (1) \| Respond to of 3602

Report says Ebbers took part in WorldCom fraud-WSJ biz.yahoo.com Friday June 6, 2:46 am ET NEW YORK, June 6 (Reuters) - An investigative report on the fraud committed by WorldCom Inc (Other OTC:WCOEQ.PK - News) for the first time implicates the company's former chief executive, Bernard Ebbers, the Wall Street Journal reported on Friday. The Journal, citing people familiar with the report, said investigators found that Ebbers spoke with top executives in October 2001 about one-time items that could boost revenue in a quarter that was set to miss analyst targets. The report, commissioned by the company and produced by an independent team led by lawyer William McLucas, is scheduled to be issued Monday, the paper said. WorldCom filed for bankruptcy in July under the weight of $41 billion in debt and an accounting scandal that is expected to top $11 billion. Investigators also found a voicemail left by former Chief Financial Officer Scott Sullivan for Ebbers, in which Sullivan said the quarter's results included too much "fluff," the Journal reported. "We are going to dig ourselves into a huge hole," Sullivan said on the voicemail message, according to the investigators, the Journal reported. The Journal also reported that investigators found an e-mail message from an accounting employee to Sullivan stating that Ebbers wanted employee sales commissions to be based on "operational" revenue numbers rather than the higher revenue figures that were publicly reported. Reached at home, lawyers for Ebbers and Sullivan declined to comment. Sullivan has pleaded not guilty to securities fraud charges.