2. Ken Lay. Enron grew out of Northern Natural Gas Company and Internorth, both essentially natural gas companies. Enron reached $101 billion in sales in 2000 despite this humble origin, through a series of acquisitions and expansions into new businesses. Ken Lay became CEO in 1986 and presided over most of the company’s growth which was largely fueled by diversification into energy generation, gas distribution businesses and water based utilities. Lay was so successful at marketing the firm to Wall St. and to the press that it was Fortune’s “America’s Most Innovative Company” for six years in a row, from 1996 to 2001.
It became clear in 2001 that Enron was hiding portions of its liabilities off of its balance sheets. Most of its assets and earnings were doctored. By the end of the year, Enron filed for bankruptcy. An investigation of the scandal found that Lay had an active hand in inflating the company’s financial health. In 2006, Lay was found guilty of securities fraud and other charges. He died July 5, 2006, shortly before his sentencing.
2. Ken Lay. Enron surgió de Northern Natural Gas Company e Internorth, ambas esencialmente compañías de gas natural. Enron alcanzó unas ventas de 101.000 millones de dólares en 2000, a pesar de su origen humilde, a través de una serie de adquisiciones y expansiones en nuevos negocios. Ken Lay llegó al puesto de CEO en 1986 y presidió la mayor parte del crecimiento de la compañía, que se dio principalmente por la diversificación en generación de energía, distribución de gas, y distribución de agua potable. Lay tuvo éxito al "vender" la empresa a Wall St. y a la prensa, donde fue la "Empresa más exitosa de América" de la revista Fortune seis años consecutivos, de 1996 a 2001.
En 2001 quedó claro que Enron estaba escondiendo partes de su pasivo fuera de sus hojas de balance. La mayor parte de sus activos e ingresos estaban adulterados. Al final de año, Enron afrontó la bancarrota. Una investigación del escándalo encontró que Lay tuvo una participación activa al exagerar la salud financiera de la empresa. En 2006, Lay fue encontrado culpable por fraude de las acciones y otros cargos. Murió el 5 de julio de 2006, poco antes de ser sentenciado.
2. Ken Lay. Enron grew out of Northern Natural Gas Company and Internorth, both essentially natural gas companies. Enron reached $101 billion in sales in 2000 despite this humble origin, through a series of acquisitions and expansions into new businesses. Ken Lay became CEO in 1986 and presided over most of the company’s growth which was largely fueled by diversification into energy generation, gas distribution businesses and water based utilities. Lay was so successful at marketing the firm to Wall St. and to the press that it was Fortune’s “America’s Most Innovative Company” for six years in a row, from 1996 to 2001.
It became clear in 2001 that Enron was hiding portions of its liabilities off of its balance sheets. Most of its assets and earnings were doctored. By the end of the year, Enron filed for bankruptcy. An investigation of the scandal found that Lay had an active hand in inflating the company’s financial health. In 2006, Lay was found guilty of securities fraud and other charges. He died July 5, 2006, shortly before his sentencing.