Eron Code of Ethics Essay

834 Words May 3rd, 2012 4 Pages
Kisa Jones
Eth/316 Ethics and Social Responsibility
March 5, 2012
Chuck Thompson

In 1985, Houston Natural Gas and InterNorth, Inc merged together to sell natural gas to most gas companies as well as businesses. This merge renamed the companies to Enron which was quickly grew as the largest natural gas company in the US. “Enron’s vision is to become the world’s leading energy company-creating innovative and efficient energy solutions for growing economies and better environment worldwide.” (www.thesmokinggun.com) Enron became a multibillion dollar company out of Omaha, Nebraska founded by Kenneth Lay, Andrew Fastow, and Jeffrey Skilling which relocated in Houston, Tx. In the late 90’s, the gas market changed from government
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Following Skilling’s resignation, Enron was placed under investigation from U.S. Securities and Exchange known as SEC. SEC began investigating Enron after their profit shares dropped 1.2 billion dollars in the third quarter. Enron Chairman Ken Lay wrote to employees of the company, “My personal belief is that Enron stock is an incredible bargain at current prices and we will look back a couple of years from now and see the great opportunity that we currently have.” ( www.cnn.com)

Everyone grew suspicious of the multibillion dollar company and began to question their finical investments. Enron faced financial issues and managers betrayed their employees informing them that the corporation was solid and had a promising future. Later, Enron was filed bankruptcy and was forced to close its doors leaving over 90,000 employees jobless. These employees believed that they help the company become successful. While the company was engaging in unethical acts such as money laundering, falsifying income, accounting fraud, and other unethical acts, their employees continued to work hard to show loyalty to their company unaware of all the scandals surrounded around them. Code of ethics is what business owners, stockholders, investors, as well as employees work together to make a successful business. These ethics carried four key values within

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