Former Enron employees reported that important documents continued to be shredded despite federal subpoenas and court orders, which prohibited the practice. The employees' condition was so severe that the word "enron" was coined to mean getting victimized or wronged by the company or boss. An "enronian" came to mean an employee or investor who suffers from corporate scandal or corruption through no fault of his or her own. It means going to work on a particular day and getting informed by the manager that the company was out of business and that one's service was no longer needed. It meant receiving the bad news without warning and with no severance pay (Wikipedia, Cable News Network).
Displaced Enron employees stood to learn from their experience that working for a large and seemingly stable company, which promises a lot of incentives and benefits and offers security, is not an assurance that it will deliver what it promises or offers. The larger the company, the greater the expenses it makes in order to survive or stay on top. Employees need to realize that their company has other loyalties to sustain. Enron had political ties to sustain and these ties needed large sums of money. Enron was embroiled in rumors of bribery and political pressure to secure contracts in Central America, South America, Africa and the Philippines. Special mention should be made about the controversial $3 billion contract with the Maharashtra State Electricity Board in India where Enron officials were rumored to have resorted to political connections within the Clinton and then Brush administrators to pressure the board.
These employees could have done something different if they were given the chance to, but they could not be given that chance. If they knew completely and exactly how their invested labors were going, they could have taken legal action to protect their interest. But management would not let them know. Management could only either apply optimism that it could solve its problems or simply justify what it was doing to make the organization survive, although management executives and officials would not guess what to do when they reached their limits.
But there were employees from the Enron ranks who should have known or recognized the impending collapse and taken some steps based on their knowledge to save the employees. These were those on the higher ranks and had access to confidential...
That kind of behavior would be unacceptable today. Huge financial rewards accrued to him for being astute. Indirectly his success in the West focused more attention on the West and encouraged exploration and development by others. Astor retired from business as the richest person in the world, so he was very successful at monopolizing the fur trade. As many other wealthy people would follow his example, Astor became somewhat
Auditing of Enron Corporation Responsible Accounting and Enron Questions There were numerous parties associated with Enron who were responsible for creating the "crisis of confidence" in the accounting profession. At the top of the list would be Enron's executives themselves: Jeffery Skilling, Kenneth Lay and Andrew Fastow all broke numerous rules, regulations and laws that govern accounting principles in order to increase their revenue on the income statements and in turn raise
Enron could engage in their derivative trading strategy with no fear of government intervention because derivative trading was specifically exempted from government regulation. Due in part to a ruling by the Commodity Futures Trading Commission's (CFTC) chairwoman, Wendy Graham, derivatives remained free of regulatory oversight. Ms. Graham, wife of Texas senator Phil Graham, made this ruling 5 weeks before resigning as chairwoman of the CFTC and joining the Enron Board
THE PEOPLE BEHIND THE RISE AND FALL OF ENRON Kenneth Lay being one of the pioneers of Enron from its establishment in 1986, had lead the way of Enron's emergence as one of the leading company in the U.S. And eventually to its collapse and declaration of bankruptcy on December 2001. Kenneth Lay held the position as the CEO and chairman of Enron from 1986 to January 23, 2002. Lay is
Disregarding its Ethical Code. Enron had its own set of Ethical Code, but it became redundant because the top managers at the company hardly paid any heed to it. The corporate culture at the company was focused on making "deals" and increasing Enron's share value, while the "outdated, theoretical concept of ethics and morality" was kept on the back-burner. Enron's 'ethics' was personified by Kenneth Lay's exercising of his stock options
Enron was a Texas based, low profile, gas pipeline Company that progressed from delivering energy to brokering energy futures. Exploiting de-regulation, it pioneered an innovative mark- to- market pricing strategy and started selling electricity in 1995, entering the European energy market in 1995. Enron broke new ground by buying, selling and hedging electricity against market risk just like shares and bonds. In 1999 Enron entered the hi-tech, Internet bandwidth market buying
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