The Enron Case is the largest business shock of its kind. The people involved in Enron’s business were called the “Stakeholders”. Enron’s stakeholder list includes all Enron staff, auditors, attorneys, executives, and any other company with which Enron is involved in dealings. However, the key stakeholders in this case are Kenneth Lay, Jeffrey Skilling and Andy Fastow (Enron Corp Chief executive).
First of all, they committed fraud regarding their financial records with the help of auditors. To obtain more money, they made a ruse of their financial status. They need more money in order to move the business forward. Enron’s final collapse led to the “mega-claims litigation” in which employees were accused of being involved. The defendants included Deutsche Bank, Royal Bank of Scotland and Citigroup. The investigation and prosecutions uncovered many people who were involved in the investigation and some of them are still on trial. This case involves all employees of Enron. All of Enron’s employees are unemployed. They are simply employees working for a salary and have no idea what they are doing. Executives and anyone who makes a lot of money through fraud are not liked by this group. Thousands of people are now in unemployment. Kenneth Lay and Jeffrey Skilling were well-deserved. After he was convicted of multiple fraud and conspiracy charges, Kenneth Lay, the founder of Enron, died from heart failure. Jeffrey Skilling received a sentence of 24 years and 4 month in prison. This was reduced to a 14 year sentence with $45 Million in fines. Andrew Fastow received a 6 year sentence with $23.8 Million in cash and personal property. Other executives were also sent to prison for being involved in the fraud. This case is a good example of an ethical dilemma that requires you to make your own decision about right and wrong. Andrew Fastow’s story is a good example. Fastow said that he knew the wrong thing to do and that he knew what he was doing was deceitful. But it wasn’t illegal to me. I thought: That’s exactly how the game plays.” His words will reveal how guilty his feelings right now. While he knew it was wrong but continued to do it as he thought it was illegal. He can have a happy life with his family if he just thinks about this enough to change it.
