1. The history of Enron
Prior t its bankruptcy, Enron was one the leading natural gas and electricity companies globally. The corporation also dealt with marketing of natural gas liquids as well as operating one of the leading gas transmission systems globally while also leading other development projects in industrial and emerging markets electricity supplier.
The company originated in Omaha, Nebraska USA and was originally known as Northern Natural Gas Company being a merger of three companies; Lone Star Gas Corporation which took thirty percent in the new merger, United Light & Railways Company with thirty five percent and North American Light & Power Company with the rest thirty five percent. This merger happened only a few months to the stock crash of that happened in 1929. The coining of this corporation later became suspect because this was in the era of the infamous great depression. Nevertheless, …show more content…
The Purpose of the legislation signed by President Bush
With the biggest financial scandal, Enron’s financial controversy came at a time when the economic recession was taking shape and it can be said that Enron was a major contributor to the stock market collapse. The investigations into its financial reporting created a new resolve to protect investors against corporate fraud. It calls for a combination of ethical and moral standards should be employed in all accounting work in order to safeguard shareholders interests.
The financial scandal came tearing down the big wigs in the government including former president George bush who had received handsome contributions in building his political career. Also not spared was the attorney general john Ashcroft. This created even more controversy with debates on the influence of money in the political system. When the white house was requested for the disclosure of documents relating to the president’s appointment of the task force on energy then chaired by Dick Cheney, the former vice president, they did not
Prior t its bankruptcy, Enron was one the leading natural gas and electricity companies globally. The corporation also dealt with marketing of natural gas liquids as well as operating one of the leading gas transmission systems globally while also leading other development projects in industrial and emerging markets electricity supplier.
The company originated in Omaha, Nebraska USA and was originally known as Northern Natural Gas Company being a merger of three companies; Lone Star Gas Corporation which took thirty percent in the new merger, United Light & Railways Company with thirty five percent and North American Light & Power Company with the rest thirty five percent. This merger happened only a few months to the stock crash of that happened in 1929. The coining of this corporation later became suspect because this was in the era of the infamous great depression. Nevertheless, …show more content…
The Purpose of the legislation signed by President Bush
With the biggest financial scandal, Enron’s financial controversy came at a time when the economic recession was taking shape and it can be said that Enron was a major contributor to the stock market collapse. The investigations into its financial reporting created a new resolve to protect investors against corporate fraud. It calls for a combination of ethical and moral standards should be employed in all accounting work in order to safeguard shareholders interests.
The financial scandal came tearing down the big wigs in the government including former president George bush who had received handsome contributions in building his political career. Also not spared was the attorney general john Ashcroft. This created even more controversy with debates on the influence of money in the political system. When the white house was requested for the disclosure of documents relating to the president’s appointment of the task force on energy then chaired by Dick Cheney, the former vice president, they did not