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Under Skilling, Enron was able to be approved for a special type of accounting called “mark to market.†This type of accounting allowed Enron to file anticipated future profits from any deal as if they were already made. This allowed Enron to exaggerate or even outright lie about their earnings. This is cited by many to be the catalyst to behavior that led to Enron’s eventual collapse...
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This allowed Enron to exaggerate or even outright lie about their earnings. This is cited by many to be the catalyst to behavior that led to Enron’s eventual collapse. (Smartest)
Skilling’s role in the scandal of Enron was unquestioned by SEC Enforcement Division Director Stephen M. Cutler, who said "In this scandal, as in others, we are by now all too familiar with executives who bask in the attention that follows the appearance of corporate success, but who then shout their ignorance when the appearance gives way to the reality of corruption...
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