“The government did a good job of keeping the focus on the heart of the case — that Lay and Skilling knew the company was in grave trouble yet told investors many falsehoods,” said SMU Law Professor Linda Eads. “Government prosecutors did not allow the case to be sidetracked into an endless debate over accounting details." Read more.
"I think that (the defendants' insisting no laws were broken) was a very hard sell for any juror, because the collapse of the company was so complete and so widely publicized, and could only have happened because some people were doing some very bad things," said Alan Bromberg, securities law expert at SMU's Dedman School of Law. "I think any reasonable juror must have said it just doesn't wash."
More sources. . . juries, judge, defense team, stupidity defense, white collar crimes.
Four years after Enron's collapse, nearly 1 in 10 workers still invest most of their retirement savings in their company's stock plan. "In the aftermath of Enron, it's shocking that so many workers are still investing most of their retirement funds in company stock," say SMU experts. Read more.
More sources. . . executive pay, accounting principles, tax shelters, Sarbanes-Oxley, GAAP.
“The Republican’s goal will be to deflect criticism and deny that the wrongdoing involved only them,” says Cal Jillson, SMU political scientist. “The Democrats will contend that a culture of corruption attaches to the Republican Party.”
More sources . . . Republicans v. Democrats, campaign finance, Texas image.
“Corporate wrongdoings are ethical failings in the boardroom, but the behaviors — greed, lying and hubris — begin in the family. If you want ethical managers, raise ethical children,” says Richard Mason, the Carr P. Collins Distinguished Professor in SMU's Cox School of Business.
More sources. . . economic impact, government’s role, corporate responsibility.