U.S. District Judge Melinda Harmon handed Arthur Andersen LLP the maximum sentence in Houston on Wednesday — five years probation and a $500,000 fine — for obstructing justice in its handling of Enron Corp.-related documents that stymied a federal investigation of the company’s finances. Although it seemed minuscule when compared to the substantial market damage caused by the Enron scandal, the punishment was the harshest allowed under law. Andersen attorneys said they would appeal.
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FERC ALJ: Up to 12 Sellers May Settle on CA Contract Renegotiation
FERC Administrative Law Judge (ALJ) Curtis Wagner, who is overseeing settlement talks between generators and California officials related to the renegotiation of long-term wholesale electricity deals, last Thursday confirmed to the full Commission that settlements in principle have been reached with four sellers He is “optimistic that many, if not all” of an additional eight power suppliers involved in the talks will be able to reach settlement as well. Several offers and counteroffers between California and the eight sellers are “global in nature” and would resolve all pending claims, including those in a refund case pending at FERC and in the California state courts.
Andersen Gets Enron-Related Grand Jury Subpoenas Tossed
In one of the few victories in recent weeks for Arthur Andersen LLP, a Houston judge last week barred U.S. Department of Justice prosecutors from subpoenaing Andersen employees to appear in front of a grand jury before the firm goes on trial in May on obstruction of justice charges related to Enron Corp. document shredding.
Judge Opens Door to CPUC’s Alternative PG&E Reorganization Plan
The U.S. Bankruptcy Court in San Francisco extended the exclusivity period for PG&E’s plan of reorganization, but allowed regulators until Feb. 13 to provide the court with specific and credible evidence that they can produce a viable alternative. The court also ordered PG&E, the California Public Utilities Commission (CPUC) and the state to provide comments on Jan. 25 about whether a third party should be appointed to meet with them to try and attempt to resolve conflicts relating to PG&E’s plan.
Lawsuit Alleges Enron Execs, Board Profited From Deception
A federal judge in Houston Friday was weighing a temporary restraining order request by Amalgamated Bank of New York that would freeze more than $1 billion allegedly gained by Enron Corp. executives and directors who allegedly deceived investors to boost the price of stock before selling millions of shares of the now bankrupt company in the past year.
Initial ALJ Decision in Transwestern Case Delayed
FERC Chief Administrative Law Judge Curtis Wagner Jr. has extended by two weeks the deadline for an initial decision in the case in which Transwestern Pipeline is alleged to have arranged more lucrative negotiated-rate deals last winter prior to posting available firm transportation capacity to its web site — a move that extracted higher rates and limited the capacity availability for recourse-rate shippers for service to California.
Initial ALJ Decision in Transwestern Case Delayed
FERC Chief Administrative Law Judge Curtis Wagner Jr. has extended by two weeks the deadline for an initial decision in the case in which Transwestern Pipeline is alleged to have arranged more lucrative negotiated-rate deals last winter prior to posting available firm transportation capacity to its web site — a move that extracted higher rates and limited the capacity availability for recourse-rate shippers for service to California.
Oneok Wins Stay In OCC Contempt Order
In an ironic twist, the same Oklahoma Corporation Commission (OCC) administrative law judge (ALJ) who had cited Oneok for contempt in May for refusing to turn over documents related to an OCC investigation last Wednesday granted the company’s motion for a stay in the state attorney general’s request that the company be cited for contempt for not turning over the same documents related to natural gas sales made last winter.
Oneok Wins Stay In OCC Contempt Order
In an ironic twist, the same Oklahoma Corporation Commission (OCC) administrative law judge (ALJ) who had cited Oneok for contempt in May for refusing to turn over documents related to an OCC investigation on Wednesday granted the company’s motion for a stay in the state attorney general’s request that the company be cited for contempt for not turning over the same documents related to natural gas sales made last winter.
FERC ALJ Pushes Back CA Refund Findings to December
Bruce Birchman, the FERC administrative law judge (ALJ) overseeing proceedings related to possible refunds for electricity overcharges in California, last Thursday issued a revised trial schedule related to the proceeding under which he now plans to certify proposed findings of fact in mid-December.