The Enron Crisis, Ken Lay’s Reputation, and the Media Did It!
“I accept full responsibility for everything that happened at Enron. Having said that, I can’t take responsibility for illegal acts that I had no knowledge of.” Comments from Ken Lay on trial in refuting others who have testified he knew of the wrongdoing going on before Enron collapsed.
According to the Morning News, the big, bad media did it again. By reporting about Enron’s financial dealings and unusual partnerships, it brought down an entire corporation, zapped billions of investor dollars into oblivion and put hundreds of people out of work.
That, according to Ken Lay, is what happened to Enron, the company at the center of the largest corporate collapse in U.S. business history.
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A Week from Hell for Reputations
Below is a list of the top 5 reputations in crisis for the first week of January 2006:
1. WILBUR ROSS AND HIS INTERNATIONAL COAL GROUP’s SAGO MINE – the king of turning distressed companies into gold is in hot water. Billionaire Wilbur Ross is the man that owns the mine 12 miners 260 feet below ground were killed in last week in West Virginia. The real tragedy the entire world learned about was the owner of the mine knew for some time the mine was not safe. In the last year alone, the mine’s owner, International Coal Group (ICG), was issued 205 citations, including 46 during the most recent inspection of the Sago Mine from early October to late December 2005. Federal inspectors listed 96 citations as “serious and substantial,” i.e., those MSHA believes could cause an accident serious enough to injure or kill a miner. These included violations of approved roof control and mine ventilation plans intended to prevent the buildup of explosive methane gas. Bottom line: safety is a reputation and life-saving must.
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