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...Lay took the news of his guilt on all six counts of fraud and conspiracy stoically Thursday, sitting with his family, not with his attorneys. His wife, Linda, dabbed her eyes and hugged her husband while daughter Elizabeth Vittor, an attorney herself, sobbed so much her body shook. All the emotion of the moment was understandable. The 64-year-old founder of Enron, the high-flying energy company that once fancied itself as a trader of everything from water to wine, now faces the prospect of 45 years in prison - in other words, the rest of his life. Before leaving...

Author: /time Magazine | Title: Can Lay and Skilling Win on Appeal? | 5/25/2006 | See Source »

...thought the nearly five-year Enron saga has now come to an end, with both men set for sentencing on Sept. 11, you may be as off base as the company's financial statements. Attorneys for Lay and Skilling vow to appeal, and there is precedent - all the way to the Supreme Court - to attack a white-collar fraud conviction based on the fine points of the kind of jury instructions given by Judge Simeon Lake. "A 'willful blindness' instruction is a very good ground [for appeal]," says Houston defense attorney Joel Androphy. Willful blindness, which Judge Lake specifically cited...

Author: /time Magazine | Title: Can Lay and Skilling Win on Appeal? | 5/25/2006 | See Source »

...Many legal experts say that Skilling actually has a better chance than Lay for a successful appeal on the issue of willful blindness. The government never argued that Skilling made a conscious decision to ignore wrongdoing at Enron; Lay, on the other hand, had been warned by whistleblower Sherron Watkins of problems in the firm's accounting. The jurors apparently felt that Lay did not respond sufficiently to Watkins memo. "If he had done it, he would have walked today," Androphy says...

Author: /time Magazine | Title: Can Lay and Skilling Win on Appeal? | 5/25/2006 | See Source »

...Hovering over the entire saga is the question of whether it's such a good idea now to have an economic chair named after Ken Lay, given Enron?s spectacular collapse. Members of the alumni board have bandied about the question of retracting Lay's name. Although discussions with Lay are ongoing, the university is required by its agreement to honor the name. Lay's family has a longtime connnection with Missouri: his late mother worked at the university bookstore while his father, a Baptist preacher, had strong ties to the community in Columbia. "It's not the university...

Author: /time Magazine | Title: Why Ken Lay Wants a Refund | 5/24/2006 | See Source »

...last eight months. Battistoni suggests one solution to the controversy would be to make ethics part of the lesson. "If the university is going to do a chair in economics named after him, to be true to its own values, the university should set it up as the Ken Lay Chair in Economics and Business Ethics...

Author: /time Magazine | Title: Why Ken Lay Wants a Refund | 5/24/2006 | See Source »

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