The Amazing Disintegrating Enron
from the how-quickly-they-fall dept
I’ve been reading a lot of articles about the collapse of Enron, but this one from the Economist has one of the clearest explanations of why they collapsed so quickly and so impressively. It’s still not entirely clear what happened (and how much – if any – illegal activity occurred), but it’s just another reminder that you should never trust the random financial statements companies throw out. It’s so easy to cook the books (even legally) that people put way too much weight on those financial reports.