Probes

In its latest 10-K report to the Securities and Exchange Commission (SEC), Sioux Falls, SD-based NorthWestern Corp. confirmed that it is cooperating with separate investigations by the Internal Revenue Service (IRS) and the Federal Bureau of Investigation (FBI). The investigations resulted from an ongoing class action lawsuit that dates back to the sale of Montana Power Co. to NorthWestern in early 2002.

In its latest 10-K report to the Securities and Exchange Commission (SEC), Sioux Falls, SD-based NorthWestern Corp. confirmed that it is cooperating with separate investigations by the Internal Revenue Service (IRS) and the Federal Bureau of Investigation (FBI). The investigations resulted from an ongoing class action lawsuit that dates back to the sale of Montana Power Co. to NorthWestern in early 2002.

Connecticut Attorney General Richard Blumenthal is investigating the actions of power suppliers during a recent bone-chilling freeze that blanketed the Northeast, saying he has information that some generators sold natural gas on the spot market that could have otherwise been used for their own power plants during the recent power supply crunch.

With little in the way of fresh fundamental or technical influence to provide direction, the natural gas futures market took the path of least resistance Wednesday in extending to new nine-week lows. Although the series of lower lows and lower highs on the daily bar chart is a very real concern for bulls, they were impressed by the market’s ability to rebound off its mid-morning lows. A intense, albeit brief, sell-off in the afternoon sent prices back beneath the $5.00 mark, but that, too, became a buying opportunity. The May contract finished at $5.065, down 6 cents for the day, but up 13.5 cents from its $4.93 low.

Legal due-process questions and procedural shortcuts may eventually undermine the ultimate decisions by the Federal Energy Regulatory Commission in its pending California energy market manipulation cases, according to two attorneys representing Pacific Northwest energy companies with stakes in the federal proceedings. They spoke Thursday at a two-day industry conference, “Buying and Selling Electric Power in the West,” in Seattle.

FERC late Thursday said it is launching an investigation as a result of allegations that former Enron Chief Financial Officer Andrew Fastow and Enron executive Michael Kopper created partnerships to mask the former energy trading giant’s stake in three wind power farms.

FERC late Thursday said that it is launching an investigation as a result of allegations that former Enron CFO Andrew Fastow and Enron executive Michael Kopper created partnerships to mask the former energy trading giant’s stake in three wind power farms.

Under mounting pressure from Capitol Hill, the Federal Energy Regulatory Commission last week kicked off an investigation into whether the once-powerful Enron Corp. manipulated wholesale electricity prices during the energy crisis that rocked California last year. If manipulation is found, FERC Chairman Pat Wood told a Senate committee that federal regulators or the courts could void some of the long-term forward contracts that the state signed to lock in supplies.

Under mounting pressure from Capitol Hill, the Federal Energy Regulatory Commission has kicked off an investigation into whether the once-powerful Enron Corp. manipulated long-term electricity prices during the energy crisis that rocked California last year. If manipulation is found, FERC Chairman Pat Wood earlier this week said federal regulators or the courts could void some of the long-term forward contracts that the state signed.