Return to Transcripts main page

CNN Live At Daybreak

Compensation From Enron: Judge Rules Workers Can Collect $53 Million

Aired September 23, 2003 - 06:17   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.


CAROL COSTELLO, CNN ANCHOR: Time now, though, for a little business buzz. The employees at Enron who lost their retirement savings when the company went bankrupt may be able to cash in the millions.
Let's get more on that story from Carrie Lee in New York.

There is justice in the world.

CARRIE LEE, CNN FINANCIAL NEWS CORRESPONDENT: Well, it's a start anyway, Carol.

A Manhattan bankruptcy court judge yesterday ruled that the committee representing former Enron employees and retirees could collect about $53 billion in compensation payments. Now this is according to published reports.

Where did the money come from? Well, this is the lump sum that a select group of 126 employees was able to collect on their deferred compensation just a few weeks before the energy trader filed for bankruptcy at the end of 2001. Now the committee representing these employees argue that the money needs to be evenly divided among ex- Enron employees. The judge ruled that the money is to be collected.

Now remember, Enron filed for bankruptcy in late 2001 after revealing twisted accounting. Hard to believe that the value of the company's stock outstanding once totaled $80 billion. Not exactly sure, Carol, if these employees will get all of the $53 million. Of course, as you said, thousands lost their savings and their retirement packages. This is at least a start, right?

COSTELLO: You're -- at least it's a start. Thank you very much. Carrie Lee live from the Nasdaq market site this morning.

TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com





$53 Million>


Aired September 23, 2003 - 06:17   ET
THIS IS A RUSH TRANSCRIPT. THIS COPY MAY NOT BE IN ITS FINAL FORM AND MAY BE UPDATED.
CAROL COSTELLO, CNN ANCHOR: Time now, though, for a little business buzz. The employees at Enron who lost their retirement savings when the company went bankrupt may be able to cash in the millions.
Let's get more on that story from Carrie Lee in New York.

There is justice in the world.

CARRIE LEE, CNN FINANCIAL NEWS CORRESPONDENT: Well, it's a start anyway, Carol.

A Manhattan bankruptcy court judge yesterday ruled that the committee representing former Enron employees and retirees could collect about $53 billion in compensation payments. Now this is according to published reports.

Where did the money come from? Well, this is the lump sum that a select group of 126 employees was able to collect on their deferred compensation just a few weeks before the energy trader filed for bankruptcy at the end of 2001. Now the committee representing these employees argue that the money needs to be evenly divided among ex- Enron employees. The judge ruled that the money is to be collected.

Now remember, Enron filed for bankruptcy in late 2001 after revealing twisted accounting. Hard to believe that the value of the company's stock outstanding once totaled $80 billion. Not exactly sure, Carol, if these employees will get all of the $53 million. Of course, as you said, thousands lost their savings and their retirement packages. This is at least a start, right?

COSTELLO: You're -- at least it's a start. Thank you very much. Carrie Lee live from the Nasdaq market site this morning.

TO ORDER A VIDEO OF THIS TRANSCRIPT, PLEASE CALL 800-CNN-NEWS OR USE OUR SECURE ONLINE ORDER FORM LOCATED AT www.fdch.com





$53 Million>