Enron


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Enron

An energy company that perpetrated one of the largest accounting frauds in history. Established in its latest form in 1985 in Omaha, it moved its headquarters to Houston and provided oil, natural gas, electric, water, and bandwidth products. Its share price eventually climbed to $85 because it used what it termed "innovative" techniques, including weather futures, to build its profit. In 2001, however, it was revealed that many of its assets were either overpriced or completely fictional; losses were hidden in offshore subsidies; and most profits were fraudulent. Its share price collapsed to $0.30 and Enron filed for bankruptcy in December 2001. See also: Arthur Andersen, WorldCom, Tyco International.
References in periodicals archive ?
Schuetze, chief accountant of the SEC, granted Enron permission to use mark-to-market accounting for its gas trading operations, Enron Gas Services, beginning the first quarter 1992.
THE MOST EXCRUCIATING MOMENTS in Power Failure: The Inside Story of the Collapse of Enron, involve a humiliating salsa-making class and a heart-pounding cross-country ski trek one bitter cold Aspen night.
Kevin Howard, former chief financial officer of Enron Broadband Services, and Michael Krautz, former EBS senior accounting director, were charged with securities fraud, wire fraud, conspiracy and making false statements to FBI agents.
The FEC looked into Reed's relationship with Enron as part of an investigation of President George W.
A year earlier, Enron stock had been trading at $90 per share.
While educators ponder long-term approaches to the issues Enron's failure raised, several states have been working on more immediate responses.
How did Enron evolve from a natural gas pipeline company into an energy commodities trader?
Enron's work was delayed because of a dispute with the local authorities and unfavourable market conditions in Russia combined with low gas prices.
At first glance it seems preposterous to think the Enron scam could have anything to do with sexual orientation.
Had this been the case for Sherrin Watkins at Enron and Cynthia Cooper at WorldCom, would the accounting scandals have been a blip on the radar screen?
Enron is also selling controlling or co-controlling interests in the Cuiaba Project, which comprises a 480-megawatt natural gas-fired power plant in central Brazil, two pipelines that transport natural gas from Bolivia to the plant, and two gas supply companies.
We may never know the role business communicators played behind the scenes at energy giant Enron and its Chicago auditing firm Arthur Andersen before their questionable accounting practices caught the media's attention.