Enron's Historic Collapse And Effects On Human Life

Enron's historic collapse and effects on human lives.

Nikolay Solovyev

Keiser University

White Collar and Economic Crime

CCJ4644

Ph.D. Vincent Giordano

April 18, 2017 Abstract

Discuss the history and background of what occurred during ENRON case. Identify the harm that occurred because of this case. Who was arrested and what was the punishment for the offenders (if any). Conclude with the long term or present effects as a result of this crime.

Enron's historic collapse and effects on human lives. The Enron collapse impacted many people, both those that were employed by the company and those that had any relationship with the company. According to (Bragg, 2002), over 4,000 people were laid off and were left wondering what they were going to do with their lives. Not only were the

Several electric companies and gas companies that Enron owned went bankrupt and lost everything the employees worked for (Thomas, 2002). Even though these individuals were impacted directly, several governing bodies were impacted as well. The Securities and Exchange Commission and Congress changed their perspective on how they would monitor companies and evaluate their gains in order to not mislead the public of what their actual worth was (Thomas, 2002).In order for these entities to do a better, more accurate job, additional monitoring services became mandated where rules and guidelines were lenient. Enron rose to prominence in the late 1980’s and early 1990’s (Bragg, 2002). When they initially started they experienced significant financial problems, but through several key purchased and business transactions, they were able to gain a lot of profit (Thomas, 2002). The company blossomed due to their impact on electric and gas companies and several key purchases that they made in order to provide services and