Enron's Lay to be indicted?

CNN ./ Money ^ | July 5, 2004: 1:47 PM EDT | CNN/Money)

[Bobby777]

NEW YORK (CNN/Money) - Former Enron CEO and Chairman Kenneth Lay will likely be indicted this week, sources close to the investigation told CNN Monday.

While a last-minute delay was still possible, federal authorities involved with the Justice Department's Enron Task Force expect a federal grand jury next week will return an indictment of Lay, these people said, speaking on condition that they not be identified.

They would not discuss what charges might be brought against Lay. The Justice Department would not comment on the reports of a possible indictment.

Lay, 62, guided Enron for years, shaping the once-obscure pipeline company into the nation's seventh-largest corporation and a world-leading energy trading concern.

Lay's lawyer, Michael Ramsey, told Reuters the government lacked the evidence to win an indictment from a grand jury, and said an internal dispute at the Justice Department had triggered recent leaks about impending charges.

[Joe Hadenuf]

yep, this was no "accounting error", it was a thoroughly planned and executed effort to build a pyramid-type scheme to bilk investors by fraudulently reporting "profits and assets" and hiding debts and liabilities in thousands of offshore "companies"

You bet....

[snopercod]

I personally like the new SEC requirement for CEO's & CFO's to sign and personnally attest to the accuracy of certain documents filed with the SEC. I view that as a step in the right direction.

I agree. Well stated.

I got burned pretty badly with Tyco. I had a stop limit order in place at 51 on the day TYC gapped down from 55 to 45. It blew right by the limit and the order went unfilled. Like a fool, I rode it all the way to the bottom and sold out recently at 20.

Normally, I refuse to participate in shareholder lawsuits because they enrich only the parasite lawyers. But I'll join in one against Tyco if there ever is one.

They were booking the full value of long term maintenance contracts in the year they were signed. That's why they were "making" so much money.