ENRUN ?
Fortune Magazine Issue 2001 pronounced Enron as the “seventh
largest most innovative company” in all of the United States. However, Enron
wasn’t always at the top of the pyramid. Enron, like many other businesses,
arose from humble beginnings tracing back to 1985 when founder Kenneth
Lay established it. The company was a result from the merger of two other
companies; Houston natural gas and Internorth. Enron first started business
as a small Gas company and later expanded into the market for Energy.
Enron headquartered in Houston, Texas. In just a short period of 15 years,
the company became the most wanted stock in Wall Street. It was the
“model corporation” everyone wanted mimic and get a piece of.
Kenneth Lay, as the founder, was not the only person to credit for the
sudden success of Enron. In 1990, Lay hired Je4rey Skilling; who was a
former Harvard MBA graduate, to lead a branch of the company. Needless to
say that Skilling’s hard work did not go unnoticed in the company as he
climbed his way up the corporate ladder. He quickly moved up to becoming
president of Enron, later operations executive and +nally reaching the
highest position in 2001, as chief executive o9cer. Skilling, in 1990 then
hired Andrew Fastow to run as the corporation’s chief financial o9cer.
Enron through it’s highs reached the highest standard of becoming the
leading company for energy services in the world. Enron’s stock reached a
peak value of 85 dollars per stock. The big question mark on how Enron
became this phenomenon is not so simple to unveil. How did Enron escalate
all of a sudden to being one of the most profitable corporations in the history
of the U.S.? It really makes one wonder HOW? And that is exactly what
Enron’s employees failed to do. They didn’t ask why? Sarcastically enough,
that was a very famous slogan of the company itself (Smartest guys in the
room documentary -Bandwidth commercial). So how come no one bother
ask?
Now, what was really happening behind all of Enron’s Success was all a
big lie. In reality, under all the spotlight Enron was receiving, casted a
shadow of 600 million dollars in debt the company hid through manipulation
of financial statements over the years. When in fact Enron was borderline to
bankruptcy. It is even more disturbing to really comprehend how Enron’s
leaders’ engaged in countless amount of unethical behaviors to drive the
company into a short run ecstasy. Arthur Anderson was the accounting +rm
that accounted all of Enron’s financial statements. This firm was determined
to break all ethical code in conspiracy with Enron’s Leaders to provide
inaccurate company financial status by manipulating, adjusting and
providing false financial statements. To believe that this company was once
looked up on as a model empire business people legitimately wanted to
follow would now seem ludicrous.
Eyebrows began to raise as Enron’s “success” was in every magazine,
newspaper and all other headlines. specifically, an article published on
