Reply #7: "New Enron indictment believed to target man at top: Ken Lay" [View All]

[PfcHammer]

http://www.chron.com/cs/CDA/ssistory.mpl/topstory2/2667266

July 7, 2004, 3:20PM
New Enron indictment believed to target man at top: Ken Lay
By MARY FLOOD and TOM FOWLER
Copyright 2004 Houston Chronicle

The Enron grand jury delivered a sealed indictment in court today, and lawyers close to the case believe it contains charges against ex-Chairman Ken Lay and that he will likely surrender Thursday.

The foreman of the specially-called grand jury told U.S. Magistrate Judge Mary Milloy that at least 16 members were present and at least 12 voted for the indictment.  

Presenting the indictment with the foreman were Enron Task Force prosecutors John Hueston and John Hemann, who are working on the Lay investigation and have taken witnesses before the grand jury in the last few months.

Prosecutors have quizzed grand jury about Lay's receipt of warnings of financial trouble and fraud at the company within weeks of then-CEO Jeff Skilling's August 2001 departure; Lay's encouraging public statements to investors and analysts after Skilling quit; and his attempt to find an alternative to substantially writing down the "goodwill" price paid for assets.