Contact l Sitemap

home industries issues reasearch weblog press

Home  » Issues » Corruption

US: Ex-Enron Executive Sentenced to Prison

by Bloomberg NewsThe New York Times
June 19th, 2007

The former chief of the Internet unit at Enron has been sentenced to 27 months in prison for helping mislead investors in the fraud that sent Enron, the world's largest energy trader, into bankruptcy.

Kenneth D. Rice, 48, onetime chief of the unit, Enron Broadband Services, was sentenced yesterday in Houston by Judge Vanessa D. Gilmore of Federal District Court. The sentence includes a $50,000 fine and two years of supervision after prison.

Mr. Rice is the 15th and last former executive to be sentenced after pleading guilty to crimes at Enron, which was based in Houston.

His voice breaking, Mr. Rice expressed sorrow to the judge.

''What got me here is, I lied over about a two-year period, on a number of occasions, to the investing community,'' he said. ''I wasn't raised that way, and I'm ashamed of that.''

Mr. Rice pleaded guilty in 2004 to one count of securities fraud and agreed to serve 10 years in prison.

He also agreed to pay as much as $1 million in fines and forfeit $13.7 million in cash and assets. Mr. Rice testified he earned $40 million to $50 million in his last 10 years at Enron.

Mr. Rice, once a close friend of Jeffrey K. Skilling, testified against the former chief executive.





This site contains copyrighted material the use of which has not always been specifically authorized by the copyright owner. We are making such material available in our efforts to advance understanding of environmental, political, human rights, economic, democracy, scientific, and social justice issues, etc. We believe this constitutes a 'fair use' of any such copyrighted material as provided for in section 107 of the US Copyright Law. In accordance with Title 17 U.S.C. Section 107, the material on this site is distributed without profit to those who have expressed a prior interest in receiving the included information for research and educational purposes. For more information go to: http://www.law.cornell.edu/uscode/17/107.shtml. If you wish to use copyrighted material from this site for purposes of your own that go beyond 'fair use', you must obtain permission from the copyright owner.