Enron CNN Video Clips

Enron and the Accounting Profession (2:30)

This clip focuses on the responsibility of Certified Public Accountants (CPAs) to ascertain that companies are following generally accepted accounting procedures when they report their activities to shareholders. The free enterprise system is based on faith and trust in the veracity of financial statements and the integrity of those accountants who vouch for them. Investors can only make informed decisions if the disclosure is full and fair.

The clip asks - what went wrong in Enron? Several possible explanations are offered. One is a problem inherent in the relationship between the accountants and Enron (or any other corporation) - the accountants are hired and fired by the company they are supposed to monitor. Another suggested problem is the limitations of self-regulation - there is no watchdog looking over the watchdogs.

Watch the video by clicking on the version compatible with your computer system:
Please be patient, the video clips may take a few minutes to download.
Standard Video Quality
(requires at least a 56K modem Internet connection)
High Video Quality
(requires at least an ISDN Internet connection)

The Enron Suicide (2:07)

The subject of this clip is the suicide of J. Clifford Baxter, former vice-chairman of Enron. In January 2002, Baxter was found dead in his car, the victim of a self-inflicted gunshot wound. Baxter made over $20 million from the sale of Enron stock since October 1998. He resigned from the company in May 2001, reportedly because he was unhappy with Enron's business practices, but he continued work with the company as a consultant. Sherron Watkins, Enron Vice-President and the key Enron whistleblower, said that Baxter "complained mightily" to then-Enron President Jeff Skilling about the impropriety of Enron transactions. She described Baxter as a man of the "utmost integrity."

Watch the video by clicking on the version compatible with your computer system:
Please be patient, the video clips may take a few minutes to download.
Standard Video Quality
(requires at least a 56K modem Internet connection)
High Video Quality
(requires at least an ISDN Internet connection)

Enron's Taxes (2:01)

This clip overviews the taxes paid by Enron to the federal government. Many people have been surprised to learn that, after reporting giant profits, Enron paid little in taxes. In fact, they often paid "less than zero." One of the key ways in which Enron avoided taxes was through the 881 subsidiaries Enron had set up in various tax havens.

Watch the video by clicking on the version compatible with your computer system:
Please be patient, the video clips may take a few minutes to download.
Standard Video Quality
(requires at least a 56K modem Internet connection)
High Video Quality
(requires at least an ISDN Internet connection)

Enron Web Chat (2:04)

As Enron's stock value collapsed, many Enron employees lost all or almost all of their retirement savings. The news media was filled with stories of people who had saved for years, were near to retirement, and now had virtually nothing with which to retire.

This clip shows that then-Enron Chairman and CEO Kenneth Lay encouraged employees to keep buying stock even after he knew that the value was plummeting. He had been warned about the problems that were developing and the likely scenario that would follow. In spite of this, Lay told employees that Enron was a sound company and a worthy investment.

Watch the video by clicking on the version compatible with your computer system:
Please be patient, the video clips may take a few minutes to download.
Standard Video Quality
(requires at least a 56K modem Internet connection)
High Video Quality
(requires at least an ISDN Internet connection)