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The Nation - Bush Administration and Enron

Enron executives met with the Bush administration just one day before the administration determined not to assist California in its Enron-created energy crisis. The administration did not impose price caps and allowed Enron to further gouge California energy consumers potentially bankrupting California energy providers and endangered the stability of the government of California.

We know that Enron Corp. officials had six meetings with Vice President Dick Cheney and his aides over an eight-month period to discuss the nation's energy policy. Rep. Henry Waxman, D.-Calif., has been pressing Cheney to detail his contacts with the troubled company. "There is a very intimate connection between Enron and the Bush administration. How could they not have known what was happening?" Waxman said. "I think we need to find out what people in the administration knew, many of whom used to work for Enron. We ought to find out whether they ignored warning signs." "The White House had knowledge that Enron was likely to collapse but did nothing to try to protect innocent employees and shareholders who ultimately lost their life savings,'' he said in a statement. ``I am deeply troubled that the White House stood by and let this happen to thousands of families.''

We are dedicated to the public exposure of this one time corporate giant. Enron was George W. Bush's largest political career contributor. No company in America was closer to George W. Bush than Enron and its CEO Kenneth Lay. Bush's nickname for Lay is "Kenny Boy". Kenny Boy's ties to the Bush family run deep. Enron's powerful influence is everywhere they have contributed money to 71 sitting Senators. Since 1989, Enron has made a whopping $5.8 million in campaign donations, 73 percent to Republicans and 27 percent to Democrats.

The Center for Public Integrity a nonpartisan research and investigative reporting organization said Enron, its employees and directors have given $623,000 to Bush from 1993 to November 2001. Campaign finance reform is the only way to stop corporations like Enron from owning those in Washington. Enron the once a mighty energy trader unraveled after it disclosed losses from partnerships kept off its balance sheet. They hid the truth while the executives cashed in the stock and made millions. Enron's bankruptcy and shenanigans left employees holding worthless stocks and retirement funds. Meanwhile top Enron executives earned over 600 million from stock sales in last 4 years. Enron's auditing firm, whose work is under investigation by federal regulators, disclosed that its employees had destroyed a ``significant'' number of documents related to Enron. Justice department investigations are looking at if Enron defrauded investors, including 401(k) plan holders, by concealing vital information about its finances. Lawyers representing Enron shareholders filed a class action suit last month claiming that between Oct. 19, 1998 and Nov. 27, 2001, the 29 current and former company officials traded 17 million shares of Enron stock worth $1.1 billion.

 

 

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The Bush Administration has several major connections with Enron.

  • Karl Rove Bush's top political strategist sold between $100,000 and $250,000 worth of Enron stock in 2001 after being accused of conflict of interest.
  • Thomas White Jr. Secretary of the Army. Was a former top Enron executive, he sold shares worth at least $50 million before Enron's shares plummeted.
  • Robert B. Zoellick Trade Representative He worked for Enron immediately before joining the administration.
  • Lawrence B. Lindsey Bush's National Economic Council chief. He was paid $50,000 by Enron in 2000 for consulting work.
  • John Ashcroft U.S. Attorney General He recused himself from the Justice Dept. probe of Enron because Enron was a major contributor to his failed Senate campaign.
  • Marc F. Racicot He was recently appointed by Bush to serve as Republican National Committee chairman is a former Enron lobbyist.
  • Paul O'Neill Treasury Secretary. Lay phoned him to warn of Enron's pending bankruptcy. The White House said no government action followed the call.
  • Don Evans Commerce Secretary. Lay phoned him before Enron's collapse to warn that Enron might default on its bonds. The White House said no government action followed the call.
  • Tom Ridge Bush's Director of Homeland Security. In 1997, when Ridge was Pennsylvania's governor, then-Texas governor Bush called on behalf of Lay to help Enron break into Pennsylvania's tightly regulated electricity market.
  • Curtis Hebert Jr. Former Chairman of the Federal Energy Regulatory Commission He told the New York Times that Lay was using his sway with Bush to influence FERC decisions. Hebert resigned in 2001, and the position was filled with Texan Pat Wood III, a friend of Bush and Lay.
  • At least 15 high-ranking Bush administration officials owned Enron stock last year.

 

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