FRAUD CASE ANALYSIS: ENRON CORPORATION

Enron is known as the one of the largest fraud scandals in the United States history. As a result of the investigations, the company was forced to file for bankruptcy in December 2001. In May 2006, Enron’s previous chief executive, Jeffrey Skilling was sentenced to 24 years in jail while the ex-chairman Kenneth Lay died of heart-attack in July 2006.
Enron Corporation represented one of the largest fraud scandals in history. As a result of the fraud investigations, the company was required to file for bankruptcy in December 2001. Enron was “a provider of products and services related to natural gas, electricity and communications to wholesale and retail customers.. Throughout the late 1990s, Enron was almost universally considered one of the country 's most pioneering companies -- a new-economy maverick that forsook musty, old industries with their cumbersome hard assets in favor of the freewheeling world of e-commerce. The company continued to build power plants and operate gas lines, but it became better known for its unique trading businesses. Besides buying and selling gas and electricity futures, it created whole new markets for such oddball "commodities" as broadcast time for advertisers, weather futures, and Internet band width. Enron was founded in 1985, and as one of the world 's leading electricity, natural gas, communications and pulp and paper companies before it bankrupted in late 2001, its annual