Ex-Enron exec gets 16-month prison sentence
September 30th, 2009 joshua
The former chief executive of Enron’s broadband business was sentenced to 16 months in prison for lying to shareholders and wire fraud.
Authorities said Joseph Hirko, then in charge of Enron’s telecommunications development. He pleaded guilty last year to a single count of wire fraud.
The Houston-based Enron collapsed for all to see in 2001 after an accounting scam exposed the company’s massive fraud.
About four years after the collapse, Hirko and other executives stood trial on charges on securities fraud, wire fraud, insider trading and money laundering. That ended in a mistrial with Hirko finally pleading guilty on the one charge of wire fraud.
Hirko allegedly lied repeatedly to investors and shareholders about the validity of Enron’s wealth, particularly in its broadband division.
