Remarks
of
AD Grant Ashley
Assistant Director, Criminal Investigative Division
for
Press Conference Announcing the Plea of Andrew Fastow
Washington,
D.C.1/14/04
Today's
plea is a significant milestone in our efforts to expose and punish those criminally
responsible for the collapse of Enron. This ongoing investigation is not a simple
case of fraud, but rather a deliberate and sophisticated series of crimes. Fastow
and other members of Enron's senior management engaged in a variety of schemes
to fraudulently manipulate Enron's publicly reported financial results. These
crimes were perpetrated by individuals in positions of trust and responsibility,
who made millions while investors lost billions.
The announcement today of the guilty plea of Andrew Fastow, the former Enron Chief
Financial Officer is a result of an intensive two-year investigation by Special
Agents of the FBI and IRS, and investigators from the Securities and Exchange
Commission.
The
FBI, along with the SEC and the IRS, are continuing to investigate corporate fraud
cases where the numerous victims include shareholders, employees, and pension
plan investors. At the present time, we are investigating 158 large scale corporate
fraud cases - 16 of which have losses exceeding one billion dollars each. We are
opening 3 to 6 new corporate fraud cases a month. All told, we have more than
2,500 cases involving securities and commodities fraud.
This
announcement is not the end of our efforts regarding the Enron case. To date we
have charged 26 individuals and the task force has restrained more than $93 million
in proceeds derived from criminal activities. We will hold accountable any individuals
who contributed to the collapse of Enron.
On
behalf of the FBI, I would like to recognize the contributions of our partners
in this investigation. Today's developments are a testament to the hard work and
dedication of the men and women of the FBI, the Criminal Division of the Department
of Justice and members of the Enron Task Force, which include the Internal Revenue
Service and the Securities and Exchange Commission. We thank you all for your
service.