The Enron Scandal Of Enron

1458 Words Mar 5th, 2015 6 Pages
One popular event that took place in our economy was the Enron Scandal, which happened in late 2000 and lasted into the following year. Those who were involved in this incident directly such as CEO’s Ken Lay and Jeff Skilling thought what they were doing was not wrong and that they were able to get away with making millions falsely (Seabury, 2008). However, this was a serious crisis situation and many people were affected through the process as well as their money. Enron was valuing themselves at a higher price than what they truly were worth, and nothing was matching up (“The Fall of Enron”). Enron was able to make it appear that they were having many new business ventures with imaginary companies or companies where it just did not work out for them, adding value to their company, and hiding all of their mistakes (Keller, 2002). Not only this, but their main goal was getting into the energy business and having it become de-regulated which subsequently had the state of California suffering an energy crisis due to their greediness (Seabury, 2008). Overall, the underlying causation of their downfall and crisis was their greed. These people behind the Enron name were money hungry and as long as the pay checks were coming to them, they did not care about the employees who would be losing their jobs, the people who had to endure the power outages in California, nor the people who’s money they manipulated and eventually lost. Enron was also favored by the government since they had…

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