Enron CFO faces money laundering charge

After handing himself over to the FBI yesterday, Enron's former CFO has been charged with fraud, money-laundering and conspiracy following the energy company's multi-billion dollar collapse.

Written by Paul Grant

Accountancy Age, 02 Oct 2002

Link: Ex-Enron CFO to face fraud charges

US deputy attorney general, Larry Thompson, said earlier today that the Department of Justice' strategy was straightforward, 'to put the bad guys in prison and take away their money.'

Earlier Fastow has given himself up to the FBI following revelations that he was about to be arrested for fraudulent activity preceding the downfall of the energy giant.

It is believed that the 40-year old accountant was allowed to surrender rather than be arrested over claims that he created and managed the complex web of partnerships, which disguised the true state of the company.

It is thought that Fastow's former right-hand man, Michael Kopper, the first former Enron executive to plead guilty to fraud and money laundering, disclosed the details of the former CFO's activities during interviews with the FBI.

Kopper is believed to have revealed that Fastow had amassed a personal fortune of $30m.