Enron and what went wrong,the accounting, the ceo's, and the retirement plans of thousands

Essay by bart0084Junior High, 9th gradeA+, March 2003

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Imagine having all your money for your retirement plan gone,

your money for vacations and grandchildren all gone. You thought it'd never

happen, but it did, and how your top executives are making off with millions

as your company goes bankrupt. Did executives and accountants destroy


Enron with 21,000 employees and international offices around

the globe was the seventh largest company in America. It grew to power by

selling gas and electricity to homes and businesses in the U.S. . After buying a

water company in England it began its international section. It seemed as if

Enron was going to be huge but they had other interests than just energy. In

2000 Enron opened up a new sector of the company called EBS (Enron

Broadband Services). Within the time of one year Enron spent 100 million

dollars buying thousands of miles of cable across the country and buying

rights to thousands more.

Many people thought that they (Enron) had found

yet another gold mine. But behind all the raves and critics, trading never

really took off. Also many senior advisors for Enron said that Enron

Broadband Services was just a huge out of control spending scheme. Though

Enron seemed to be tricking many in the broadband services they didn't

really fool around with tricking people in water or electricity they in a way

knew that people needed those items to survive.

The Scheme

Early in the nities many employees and investors saw

they're small investments rise from 5,000 dollars to 2.5 million. A huge

increase and it seemed, the future was bright for all of Enron investors.

Many stockholders invested more money thinking that they too would soon

see results that fitted their needs. But they soon realized that not only would

they lose...