02-08-2005, 09:49 PM
<b>The Enron Debacle </b>
Enron was George W. Bush's biggest donor and gave over $560,000 to Bush's gubernatorial and presidential campaigns. Due to the debacle of Enron thousands of employees have not only lost their jobs but in many cases have lost their 401k pension funds. The 7th largest corporation in American has been accused of misleading its investors by using overseas subsidiaries to hide more than $1 Billion in debt and filing false and misleading information with securities regulators.Enron's accounting firm, Arthur Anderson, seems to have gone along with these deceptions.
What makes the Enron story so serious is that it may be the tip of the iceberg as far as corporate corruption is concerned. People are now anxious about their 401k accounts and their ability to protect their retirement money in the future. About 45% of the wage earners in the U.S. now own substantial amounts of stock. Because of deregulation and other schemes many of the protections once afforded to stockholders have been quietly repealed or eliminated and other protections never made it out of congressional
Enron is just one of many corporations that is overvalued and hides its true earnings through deception and clever accounting practices (consider Tyco or Global Crossing. Just consider the stock bubble.
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If I could... Then I would... Turn back time!!
Enron was George W. Bush's biggest donor and gave over $560,000 to Bush's gubernatorial and presidential campaigns. Due to the debacle of Enron thousands of employees have not only lost their jobs but in many cases have lost their 401k pension funds. The 7th largest corporation in American has been accused of misleading its investors by using overseas subsidiaries to hide more than $1 Billion in debt and filing false and misleading information with securities regulators.Enron's accounting firm, Arthur Anderson, seems to have gone along with these deceptions.
What makes the Enron story so serious is that it may be the tip of the iceberg as far as corporate corruption is concerned. People are now anxious about their 401k accounts and their ability to protect their retirement money in the future. About 45% of the wage earners in the U.S. now own substantial amounts of stock. Because of deregulation and other schemes many of the protections once afforded to stockholders have been quietly repealed or eliminated and other protections never made it out of congressional
Enron is just one of many corporations that is overvalued and hides its true earnings through deception and clever accounting practices (consider Tyco or Global Crossing. Just consider the stock bubble.
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If I could... Then I would... Turn back time!!
