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Enron's Fastow Turns Himself In
Aired October 02, 2002 - 10:02 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
DARYN KAGAN, CNN ANCHOR: We move on this hour, beginning with countless Enron employees. They lost not only their jobs, but their retirement savings.
Andrew Fastow is considered to them -- to many of them to be an architect of evil. Federal prosecutors say the former chief financial officer constructed the accounting shell game that concealed nearly a billion dollars in debt, and doomed the company that was once considered a Wall Street darling.
Today, the government plans to file charges against Fastow.
Our Jen Rogers has the latest on this developing story -- Jen, good morning.
JEN ROGERS, CNN CORRESPONDENT: Good morning, there, Daryn. Indeed, the Department of Justice has just unsealed the criminal complaint against Andrew Fastow, the former CFO of Enron, and I can tell you, among the charges that they are charging him with, securities fraud, wire fraud, mail fraud, money laundering, and conspiracy.
Now Mr. Fastow turned himself in to the FBI here in Houston earlier this morning, escorted by his lawyer. He was then escorted by the FBI here to the federal building in handcuffs just about an hour ago.
Now, in about two hours, we are expecting a court appearance from Mr. Fastow here at federal court. He will be facing these charges. Talking to a spokesman of Mr. Fastow, they would not comment on any issues relating to bail, but did say they expect him to be released later today. Now, this is a big day, not just for Andrew Fastow and the charges that he faces, but also for the government, because a criminal complaint really will set out the road map of where the government is moving forward in this case, possibly naming some other names, and if they are intending to go further up the food chain at Enron. Mr. Fastow, of course, is now the highest ranking ex-Enron executive to be charged, the most high profile, and we are expecting, again, to have him here in court in just about two hours -- Daryn and Leon.
KAGAN: You mentioned other names, Jen, the biggest being Ken Lay. Do we expect to hear his name?
ROGERS: Exactly. Ken Lay, the former chairman, Jeffrey Skilling, the CEO, those would be the titles and the names to be looking out for. And at this point, unclear exactly how far the government is going to be going in laying out their case in this criminal complaint. But those would be the people to be looking out for, and people eagerly waiting to see if that is indeed the case.
KAGAN: Well, we will be able to listen for ourselves with you as well. Once again, that news conference is set to begin soon.
TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com
Aired October 2, 2002 - 10:02 ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
DARYN KAGAN, CNN ANCHOR: We move on this hour, beginning with countless Enron employees. They lost not only their jobs, but their retirement savings.
Andrew Fastow is considered to them -- to many of them to be an architect of evil. Federal prosecutors say the former chief financial officer constructed the accounting shell game that concealed nearly a billion dollars in debt, and doomed the company that was once considered a Wall Street darling.
Today, the government plans to file charges against Fastow.
Our Jen Rogers has the latest on this developing story -- Jen, good morning.
JEN ROGERS, CNN CORRESPONDENT: Good morning, there, Daryn. Indeed, the Department of Justice has just unsealed the criminal complaint against Andrew Fastow, the former CFO of Enron, and I can tell you, among the charges that they are charging him with, securities fraud, wire fraud, mail fraud, money laundering, and conspiracy.
Now Mr. Fastow turned himself in to the FBI here in Houston earlier this morning, escorted by his lawyer. He was then escorted by the FBI here to the federal building in handcuffs just about an hour ago.
Now, in about two hours, we are expecting a court appearance from Mr. Fastow here at federal court. He will be facing these charges. Talking to a spokesman of Mr. Fastow, they would not comment on any issues relating to bail, but did say they expect him to be released later today. Now, this is a big day, not just for Andrew Fastow and the charges that he faces, but also for the government, because a criminal complaint really will set out the road map of where the government is moving forward in this case, possibly naming some other names, and if they are intending to go further up the food chain at Enron. Mr. Fastow, of course, is now the highest ranking ex-Enron executive to be charged, the most high profile, and we are expecting, again, to have him here in court in just about two hours -- Daryn and Leon.
KAGAN: You mentioned other names, Jen, the biggest being Ken Lay. Do we expect to hear his name?
ROGERS: Exactly. Ken Lay, the former chairman, Jeffrey Skilling, the CEO, those would be the titles and the names to be looking out for. And at this point, unclear exactly how far the government is going to be going in laying out their case in this criminal complaint. But those would be the people to be looking out for, and people eagerly waiting to see if that is indeed the case.
KAGAN: Well, we will be able to listen for ourselves with you as well. Once again, that news conference is set to begin soon.
TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com
