Posted on 07/13/2005 9:00:37 AM PDT by Imani
Former Worldcom Chief Executive Bernard Ebbers was handed a 25-year prison term for directing the biggest accounting fraud in corporate history, leaving thousands of investors empty-handed.
Ebbers, who built a small Mississippi-based long distance company into a telecommunications powerhouse, was found guilty on March 15 on all charges — one count of conspiracy, one count of securities fraud and seven counts of false regulatory filings.
But he could also be a charming and folksy CEO, who preferred cowboy boots to suits, opened shareholder meetings with a prayer, ate lunch in the cafeteria and ran a company that had become a Wall Street darling by the late 1990s.
Ebbers worked as a bouncer, basketball coach and milkman before getting into the telecommunications business.
(Excerpt) Read more at msnbc.msn.com ...
GOOD!
Good deal. I guess it's too much to hope that he serves the whole sentence, but at least he was sentenced.
Hey Bernie:
Its like this: (1)Bend over. (2) Grab ankle.
He's going to learn first hand the art of laying broadband cable.
I agree.
People like Ebbers and Ken Lay gave corporate America an un-needed black eye thru their extreme greed.
Many investors and employees suffered badly because of their shenanigans.
And worse yet, all these scandals provided the dems with ammo in their bid to "re-form" corporate America.
I worked at WorldCom.
Lost around 40K.
That's a serious sentence. Gee, I thought this administration was going soft on corporate swindlers.
/ sarcasm.
He's 63. This potentially a life sentence.
I feel sorry for folks at WCOM that got hurt, but MCI, as a corporation, was built on lies, IMHO, so this is somewhat fitting (yes I know Ebbers only bought MCI relatively recently).
"I worked at Worldcom. Lost around 40K."
Looks like the judge had you guys in mind.
From the article:
"In a victim impact statement, Henry J. Bruin Jr., 37, a former WorldCom salesman, said the company’s collapse caused him “untold human carnage” and put him through “sheer hell.” He lost all of his savings and couldn’t get another sales job."
Please explain to me the way this happened. What were the terms of the investment?
I have been so far unable to get a consistent answer to the question. I don't know why it's so fuzzy.
What was the Clinton worshipers defense of keeping him in office during the impeachment? Yes, it was because the economy was booming and we couldn't do without his leadership. Actually, the economy was floundering and submitting fraudulent figures to shareholders and the government. The SEC certainly was not eager to bring any of this corruption to an end and let the air out of these big balloon companies, because everyone in the Clinton administration was on the take and his economic numbers were keeping him in office.
The government's collusion made this corporate corruption possible, with the result that when W got into office, the corporate scandals had reached the tipping point. However, Ebbers is the one going to jail, while the Clinton SEC, Treasury, and FBI officials are not. Government has granted itself immunity from prosecution. Very convenient. They should all be joining the corporate heads in prison.
In federal court, you serve 85% of your sentence if you are otherwise well behaved. There is no parole. Even with good bahavior he must serve over 21 years.
Excellent - thanks for letting me know!
I would rather see him get the "cat 'n nine for 39"!
Medievel is what he deserves.
Hopefully, he "funneled" some of the millions to his family so they can live in Switzerland, or France, or Australia, or wherever they'd like.
I'd hate to see a wealthy family brought low.
One of my favorite heros is Charles Keating!
I bought Worldcom stock, directly and through funds, because Bernie Ebbers and Scott Sullivan actually held conference calls with the sales force telling us how financially stable Worldcom was. This was 8 months before the scandal broke.
I had always thought I was working for a solid company.
But it was all smoke and mirrors. And Bernie and Scott were the ones pulling the levers.
But were you required to hold the stock? And were you locked in? I have heard all kinds of stories about people not being allowed to sell.
I hope it wasn't an asset that was anywhere near your sole holding.
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