Attorney General Lockyer Issues Statement on Criminal Convictions of Former Enron Executives Kenneth Lay and Jeffrey Skilling
(SACRAMENTO) – Attorney General Bill Lockyer issued the following statement on today’s federal jury verdict convicting former Enron executives Kenneth Lay and Jeffrey Skilling on a combined 25 counts of securities and wire fraud, conspiracy, making false statements and insider trading.
“Having witnessed Enron mastermind a multi-billion dollar piracy of California during the Energy Crisis, I was the first elected official to call the company a criminal enterprise. Today’s verdict brings the two individuals who led Enron one step closer to being held accountable for ripping off California consumers and businesses, destroying the pensions of hundreds of workers and their families, and defrauding investors on a massive scale. But this case is not just about punishing Ken Lay and Jeff Skilling. Hopefully, this verdict sends a strong message to corporate America. Hopefully, it will help deter corporate crime, and nurture the fair dealing and honesty essential to the well-being of our economy.”
Lockyer, state agencies and utilities in July 2005 reached a $1.52 billion settlement with Enron to resolve allegations the firm engaged in large-scale market manipulation during the California Energy Crisis of 2000-01. Given the company’s bankruptcy, Lockyer estimates Enron ultimately will pay about $260 million.