Corp-Ethics.com - Report: Prosecutors raise Enron boss fine

Company	Enron [Company Info]
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Date	Issue	Title
13th Aug 2006	Fraud Investigation	Prosecutors raise Enron boss fine

Report

US Federal prosecutors have raised the amount that former Enron boss Jeffrey Skilling should pay for his part in one of the largest fraud scandals ever.

Prosecutors want Skilling to pay the sum demanded by the court both from him, and from his now-deceased former co-defendant, Ken Lay, Enron's founder.

They want Skilling to hand over $183m (£96m), the combined sum the two were set to pay, not just his $139m sum.

In May, they were found guilty of fraud and conspiracy in Enron's collapse.

The conspiracy conviction means Skilling is "liable for all the proceeds attributable to all co-conspirators indicted or unindicted, including Lay," by taking part in the plan, said prosecutors.

Along with Lay, Skilling was convicted of hiding Enron's debts before its 2001 collapse.

But Lay died of a heart attack on 5 July.

His death came soon after prosecutors requested US district judge Sim Lake to order Skilling to hand over $139m and Lay $43.5m.

The government argued they had made this money by conspiring to give an overly positive - and false - picture of Enron's finances.

Since then Lay's lawyers have requested Mr Lake eliminate the fine, as Lay had not appealed the verdict or received a sentence by the time of his death.

When Skilling objected to the original amount he was fined, the prosecutors upped the amount he should pay to incorporate Lay's share, a filing revealed Friday.

The US energy giant went bankrupt in 2001 with debts of $31.8bn (£18bn), leaving 4,000 people out of work.

Sentencing has been set for 23 October, and were Lay alive, he like Skilling would have faced a significant jail sentence.

Skilling, who was found guilty on 19 out of 28 counts, plans to appeal the decision.

Lay was found guilty on the six charges he faced.

Other Reports on Enron
Date	Issue	Company	Report
26th Sep 2006	Fraud Investigation	Enron	Fastow gets six-year term
25th May 2006	Fraud Investigation	Enron	Lay and Skilling guilty
15th May 2006	Fraud Investigation	Enron	Enron bosses 'stole to pump egos'
11th May 2006	Fraud Investigation	Enron	Judge deals blow to Enron accused
26th Apr 2006	Fraud Investigation	Enron	Enron feared witch hunt, Lay says
24th Apr 2006	Fraud Investigation	Enron	Lay 'devastated' by Enron failure
18th Apr 2006	Fraud Investigation	Enron	Skilling defends Enron share sale
13th Apr 2006	Fraud Investigation	Enron	Skilling slams Enron prosecutors
12th Apr 2006	Fraud Investigation	Enron	Enron 'held no cookie jar fund'
11th Apr 2006	Questionable Practice	Enron	Skilling denies cover-up at Enron
10th Apr 2006	Fraud Investigation	Enron	I'm innocent says ex-Enron chief
3rd Apr 2006	Fraud Investigation	Enron	Key Enron witness 'lied in court'
22nd Mar 2006	Fraud Investigation	Enron	Enron treasurer tells of 'lies'
16th Mar 2006	Fraud Investigation	Enron	Enron whistleblower condemns Lay
14th Mar 2006	Fraud Investigation	Enron	Key Enron witness 'duped bosses'
9th Mar 2006	Fraud Investigation	Enron	Lay 'lied about Enron finances'
7th Mar 2006	Fraud Investigation	Enron	Enron bosses hid massive losses
1st Mar 2006	Fraud Investigation	Enron	Enron 'pretty fast and loose with its rules'
27th Feb 2006	Fraud Investigation	Enron	Enron money man 'raided reserves'
13th May 2005	Fraud Investigation	Enron	Former Enron executive sentenced
9th Jan 2005	Fraud Investigation	Enron	Enron bosses agree $168m payout
3rd Nov 2004	Fraud Investigation	Enron	Convictions in Enron fraud trial
28th Jun 2004	Other Issue	Enron	Enron ex-boss breaks his silence

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