Ex-Enron chief back in court on fraud charges

Former Enron chairman Kenneth Lay was back in court yesterday facing a second
trial relating to charges of fraud in his personal financial affairs.

Lay, who is awaiting a jury verdict over charges relating to the collapse of
the former energy corporation, has been accused of lying to three banks and
misusing the proceeds of a $75m (£40m) loan. A guilty verdict could see him face
a jail term of up to 30 years.

Lay’s legal team have accused federal prosecutors of dredging up a
little-known old law as an add-on, in case they fail to obtain a conviction from
the Enron trial.

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